Business

Yet another major reform in offing; govt moots uniform road tax!!

In a meeting held in Guwahati, the GoM observed that a uniform tax structure will put a check on people registering their vehicles in low tax states

Yet another major reform for the boosting of businesses in India as the government of India has proposed a road tax structure that is expected to make the current road tax system more organized and uniform across the country.

The Ministry of Road Transport and Highways said that new form of tax will promote the use of public transport, ease the transfer of vehicles within the states across India and promote the use of electric vehicles.

It was informed that the Group of Ministers (GoM) constituted by the MoRTH has recommended a uniform structure of road tax for vehicles across states

.

In a meeting held in Guwahati, the GoM observed that a uniform tax structure will put a check on people registering their vehicles in low tax states and running them in other states.

This will also see the introduction of a new National Permit for both goods and passenger vehicles.

The meeting held in Guwahati was headed by Assam Chief Minister Sarbananda Sonowal and discussed One Nation- One Tax and One Nation- One Permit proposal.

Further, it was recommended a national bus and taxi permit on lines of such permit for goods transport.

Public transport in the country is growing annually at a rate of just about 2 percent, as against a 20 percent annual growth in private transport.

The government has not decided the roll-out date of this new road taxation system and the actual amount of road tax to obtain a National Permit will be announced at a later date.

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