Gujarat approves 50% vehicle tax concession for scrapping

GANDHINAGAR: In a bid to promote swapping of old vehicles and purchase new ones by the consumers, Gujarat Government has decided to provide up to 50% concession in Motor Vehicle Tax at the time of registration of a new vehicle, based on the Certificate of Deposit (COD) issued after authorised scrapping of eligible old vehicles.

As per the notification recently issued by the Ports and Transport Department regarding this decision, transport and non-transport vehicles manufactured as per Mass Emission Standards Bharat Stage-I (BS-I) and earlier standards have been covered under this provision. In addition, a concession has also been provided for all medium and heavy goods motor vehicles as well as all medium and heavy passenger motor vehicles manufactured as per BS-II standards.

According to the state government, the relevant CODs issued up to March 31, 2027, will be considered for this tax concession. The owners of eligible vehicles will have to complete the process of scrapping and obtaining the COD within the stipulated time limit.