Scrap vehicle, get up to 25% rebate in tax on new one

 

India; Vehicles bought after scrapping old ones will get up to 25 per cent rebate in motor vehicle tax when owners produce a valid certificate of scrapping, the government notified on Wednesday.

The Ministry of Road Transport and Highways has issued a notification that comes into force from April 1, 2022.

As incentive for scrapping, when a vehicle owner submits a “Certificate of Deposit”, issued by a registered vehicle scrapping facility, the stipulated rebates will be available. Up to 25 per cent rebate in applicable tax in case of non-transport (personal) vehicles, and up to 15 per cent concession in case of transport (commercial) vehicles is notified.

The concession will be available for up to eight years, in case of transport vehicles, and up to 15 years, in case of non-transport vehicles, the notification says.

Source Indianexpress