Mumbai: The Devendra Fadnavis-led government in Maharashtra proposed tax concessions for buyers who scrap old vehicles and purchase new ones, while also suggesting higher environmental taxes on certain older private vehicles to reduce pollution.
Presenting the proposal in the state Assembly, Chief Minister Fadnavis said the measures are intended to discourage the use of fuel-inefficient and highly polluting vehicles and accelerate the replacement of older models.
Under the proposal, buyers scrapping vehicles compliant with BS-4 or higher emission standards and purchasing new vehicles will receive a 16 per cent concession in motor vehicle tax. For those scrapping vehicles with BS-3 or older emission norms, the concession would increase to 30 per cent.
At the same time, the government has proposed doubling the environmental tax on non-transport (private) vehicles with BS-4 and older emission standards, citing their higher contribution to air pollution.
The government has also suggested capping the motor vehicle tax on crane-mounted vehicles at a maximum of Rs 30 lakh.
According to Fadnavis, the steps are part of the state’s broader effort to modernise its vehicle fleet, curb pollution and improve air quality.
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