In a move impacting lakhs of vehicle owners, the Maharashtra government has amended its motor vehicles tax law, introducing higher taxes for vehicles older than 15 years and a new structured payment system.

The changes come under the Maharashtra Motor Vehicles Tax (Amendment) Act, 2026, which came into effect after being published in the state gazette on April 7.

What has changed

Vehicles completing 15 years from their registration date will now attract a lump-sum tax payable every five years, replacing the earlier structure.

The revised tax slabs are based on emission standards:

  • Two-wheelers
    • BS-VI: ₹2,000
    • BS-IV & below: ₹4,000
  • Petrol vehicles (non-two-wheelers)
    • BS-VI: ₹3,000
    • BS-IV & below: ₹6,000
  • Diesel vehicles (non-two-wheelers)
    • BS-VI & above: ₹3,500
    • BS-IV & below: ₹7,000

Focus on pollution control

Officials stated that the revised taxation aims to discourage the use of older, more polluting vehicles. Higher charges have been imposed on vehicles with outdated emission standards to push owners towards cleaner alternatives.

Relief for infrastructure sector

In a parallel decision, the government has capped motor vehicle tax on cranes at ₹30 lakh, offering relief to the construction and infrastructure industries.

What it means for vehicle owners

Owners of vehicles older than 15 years will now need to pay tax once every five years instead of annually. However, the overall cost is higher, especially for vehicles with lower emission standards.

This change is also expected to impact resale value, as maintaining older vehicles may become less economical.

Shift towards cleaner mobility

The amendment aligns with broader environmental goals, encouraging the transition to newer, less polluting vehicles. Electric vehicles, however, are not directly affected and continue to benefit from separate incentives #Maharashtra #VehicleTax #AutoNews #TrafficRules #Environment #newskarnataka