Mumbai 10th March 2025.
Maharashtra Finance Minister and Deputy Chief Minister Ajit Pawar has decided to impose 6 per cent additional motor vehicle tax over and over the nation wide 5 per cent GST on all EVs making the state one of the highest taxed state for passenger EVs in ndia
Pawar made this announcement presenting his 2025-26 budget.
Explaining the rationale for the move senior government officials in the Chief Ministers office said the tax ” is levied only on EV which are priced above Rs 30 lakh because it’s luxury and not below that,”.
The State has also decided to increase motor vehicle tax rate by 1 per cent on individual-owned non-transport four-wheeler CNG and LPG vehicles depending on the vehicle type and price.
Motor vehicle tax is currently levied at the rate of 7 per cent to 9 per cent
Senior government officials said that this move comes from fresh optimism of Maharashtra’s economy is expected to grow at 7.3 per cent as per the advance estimates of 2024-25 as compared to the latest economic survey which has said the Indian economy is expected to grow at 6.5 per cent
The state is expected to use Rs 150-200 crores additional funds generated by such taxation to fund it’s various developmental activities
