Road-Tax Exemption Applicable For Disabled Or Physically-Challenged Individuals

The Chandigarh government has announced a road-tax exemption for disabled or physically-challenged individuals. Section 13 of the Punjab Motor Vehicles Taxation Act (1924) has been reformed by the UT administration to issue the order for tax exemption.

ET Auto shares that the above-mentioned orders align with the notification issued by the Central Ministry of Home Affairs back on June 15, 2006. The orders also cover vehicles used by various social welfare departments and local NGOs (Non-Governmental Organisations) that operate for those living with disabilities, with the Union Territory (UT).

Under normal circumstances, a road-tax of 6 per cent is applicable for vehicles that cost below Rs 20 lakh and eight per cent for those above. By making vehicles to be owned by disabled individuals road-tax-free, the government will indirectly improve their living status and narrow down the social gap.

The government has also clarified that the exemption is applicable only if the beneficiary institutions or organisations are duly registered with the social welfare department. The registration with the concerned department comes under Section 51 od the Rights of Persons with Disabilities Act, 2016. The transport department of the Union Territory will bring the road-tax exemption only on a case-to-case basis.

Back in May 2018, the Bihar government had also made new vehicles that would be owned by individuals with disabilities, road-tax-free.

Sanjay Kumar Agarwal, State Transport Secretary, shared back then, "There's a provision in the Motor Vehicles Act, 1988, as amended in 2017, that no road tax will be deducted in the case of disabled-friendly vehicles or 'invalid carriages'. However, the state transport department did not have the proper set-up to implement such provisions. Now, with immediate effect, all the disabled individuals in Bihar will be permitted to drive their vehicles without paying the usual 7 per cent road tax."

Thoughts On Road Tax Exemption Being Issued For Disabled Individuals

This is a welcome reform by the UT government which will encourage more individuals who are facing some forms of disabilities in life, to realise their dream of owning a new car. We really hope that the Indian government will bring this road-tax-exemption on a national level.