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Punjab Cabinet okays amendment to simplify realisation of Motor Vehicle Tax or Applicable Refund

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Chandigarh, February 24, 2021 (Yes Punjab News)
To simplify the procedure for realization of motor vehicle tax and its refund where applicable, the Punjab Cabinet led by Chief Minister Captain Amarinder Singh on Wednesday gave approval to amend Section 3 and Schedule of the Punjab Motor Vehicle Taxation Act, 1924 (Amended).

The amendment deals with issues like refund of lump sum tax paid in case of a motor car or motorcycle owner shifting to another state with the vehicle and ceasing to be resident of Punjab, or transfer of ownership of the vehicle to a person having residence outside Punjab. In both such cases, refund of the lump sum tax paid shall be allowed at such rate as may be determined by the Government from time to time.

In case a transport vehicle is registered in a State other than Punjab, such a vehicle shall become liable for paying tax the moment it enters the latter at such rate, as may be determined by the Government from time to time.

Likewise, at the time of issue of new stage carriage permit, one-time tax per kilometer shall be levied on such buses, and as and when a big bus holder is allowed to ply on extended route with the increased mileage, a one-time tax per kilometer shall be levied.

The notification issued shall specify the type of motor vehicles, the periods and the manner in which the tax shall be levied at such rates, as may be specified by the State Government, by notification, from time to time. However, it shall be provided in the notification that the rates of tax shall not exceed the maximum limit as has been specified in the Schedule.

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