Know all about VAHAN/Parivahan Tax & RTO Charges in Rajasthan

Rajasthan is connected to a total of 47 National Highways and 85 State Highways. As a result the state provides seamless connectivity of the roadways. For such seamless connectivity, it is imperative to maintain the road. That is why the State Government of Rajasthan impose a Motor Vehicle tax on purchasing of every vehicle.

Individuals planning to buy a car or two-wheeler in Rajasthan would need to complete several formalities.

Apart from acquiring the vehicle’s registration, licence plate, pollution certificate, owners would also need to service a specialised form of tax, known as road tax.

But, what is road tax exactly? How do you pay it and why?

Well, read on to know the answer to all of these questions.

The western state of Rajasthan follows a distinct Motor Vehicles Taxation Act, which was implemented in 1951. Road tax is charged inclusive of the ex-showroom price of a car or bike.

Like everywhere else in India, the responsibility of levying and collecting taxes falls on the state government in Rajasthan.

Road taxes are levied to ensure that the state government can repair and build roads throughout the concerned state.

Also, such taxes can help authorities provide the necessary security to travellers on the roads.

Since Rajasthan road tax is levied by the state government, it tends to vary greatly from the taxation in the other states.

Regardless of the amount, every individual vehicle owner, along with businesses, need to bear these taxes after purchasing a vehicle and registering it at your local RTO.

How is Road Tax Calculated?

Depending on the state, road tax calculation can be based on one or more of the following factors –

●       Age of the car/bike

●       Fuel used by the concerned vehicle

●       Number of seats

●       Number of wheels

●       Engine capacity of the two-wheeler or four-wheeler

●       Purpose of usage

●       Cost of the vehicles

RTO tax Rajasthan for two wheelers is based on the engine capacity and cost. Higher cubic capacity vehicles tend to draw increased taxes and vice versa. For four-wheelers, the tax rate is determined by the price point.

To understand the exact rates, you need to look at the different Rajasthan road tax slabs for the different types of vehicles.

If you are looking to purchase a two-wheeler in Rajasthan, refer to the following four slabs of road taxes for 2-wheeler owners:

• Engine Capacity of up to 125cc - For individuals who own a bike/scooter whose engine capacity is limited to 125cc or lower, the road tax liability would be 4% of the vehicle’s cost. Therefore, if the cost is Rs.50000, you would need to pay Rs.2000 as tax on it.
• Between 125cc And 200cc - These bike/scooter owners need to be ready to bear taxes at rates of 6% of the concerned vehicle’s cost.
• Between 200cc And 500cc - If you fall under this category, the percentage of the cost you would need to pay as taxes is 8%.
• More Than 500cc - Around 10% of a bike’s cost must be borne as road taxes if its engine capacity exceeds 500cc.

Four-wheeler vehicle owners in Rajasthan must service road taxes under the following slabs:

• Vehicles Costing Rs.3 Lakh or Lower - Owners would need to bear 4% of such a car’s cost as road taxes in Rajasthan.
• Vehicles Priced over Rs.3 Lakh and up to Rs.6 Lakh - 6% of a car’s cost in this price range is levied as such taxes in the state.
• Vehicles Priced over Rs.6 Lakh - If the car costs more than Rs.6 lakh, you have to clear taxes worth 8% of the car’s cost.

Rajasthan road tax norms do not differ based on the usage of the underlying car or bike. Therefore, even if you plan to utilise a vehicle for commercial purpose only, the same slabs would be applicable in your case.

For two-wheelers, the engine capacity would determine taxation. In the case of four-wheelers, the price of the car would decide how much you need to pay.

Failure to pay road taxes in Rajasthan will lead to the accrual of a penalty. This charge will be decided by the state government, but cannot exceed 5% of the taxes due each month. However, it is important to note that the penalty cannot exceed 5%.

Thus, if the taxes due is Rs.10000, the amount of penalty for defaulting on road tax payment cannot be more than Rs.500 per month.

While you can decide to pay road tax offline by visiting your local RTO, the easiest option is to service the dues using the online method. Here are some steps to follow for the same –

• Step 1: Visit the official Ministry of Transport website, also known as the Parivahan portal.
• Step 2: Navigate to ‘Online Services’ and choose the option marked ‘Vehicle Related Services.’
• Step 3: Select Rajasthan from the menu, which will take you to the concerned state’s online road tax payment page.
• Step 4: Choose how you want to clear these taxes from options ranging between debit card and internet banking.
• Step 5: Complete the payment.