New GO in the offing for MV tax exemption

RTA collects tax that is non-existent!

In October, the Telangana government passed a GO exempting motor vehicle tax for four categories of vehicles. However, the RTA continues to collect the tax as the software has not been updated yet. The RTA could not foresee the lag period for implementation of the GO. As a result, vehicle owners are still forced to part with road tax

The software does not accept fee that is payable towards various services until the quarterly tax and arrears are paid. The authorities should have foreseen the problem. Even if a fresh GO is passed what about those who have already paid the tax? How long does it take to make changes to the software? It is almost a month since the GOs have been passed.- A Sathi Reddy, Telangana Auto Unions Joint Action Committee member

It will be a month on November 14 since the GOs 9, 10 and 11 were passed exempting motor vehicle tax for four categories of vehicles but the RTA officials are still collecting tax for July to September period. Shiv Shankar, an auto driver, said, "When I went to the RTA, I was asked to pay the tax for the next quarter. When I tried to reason with them that a GO was passed on October 16, the officials said that they did not receive any orders and the software has not been updated."

There are 1.5 lakh autos in the Greater Hyderabad limits. According to GO No 11, the government decided to write off cumulative arrears of Motor Vehicle Tax to an extent of Rs 76.26 crore due up to June 30, 2014 for vehicles such as three-wheeler goods carriages, three-wheeler contract carriages, all passenger autorickshaws (four-seven seaters), agricultural tractors and trailers. However, the authorities failed to update the software. When vehicle owners visit the Regional Transport Authority (RTA) for various services, they are asked to pay the arrears.

Joint Transport Commissioner T Raghunath admitted that it was an issue and a fresh proposal was sent to exempt the tax for the next quarter which the government would be issuing soon.

"It is true that the software has not been updated. A fresh proposal is being sent for the exemption of tax from the next quarter," he said.

A Sathi Reddy, Telangana Auto Unions Joint Action Committee member, groused, "The software does not accept fee that is payable towards various services until the quarterly tax and arrears are paid. The authorities should have foreseen the problem. Even if a fresh GO is passed, what about those who have already paid the tax? How long does it take to make changes to the software? It is almost a month since the GOs have been passed."

Several vehicle owners are paying Rs 45 till December. The tax per quarter is Rs 110. Muneeruddin, an auto driver, said, "Some of us are just paying between Rs 45-50 till the end of the year and are waiting for the implementation of the new rule."

He added that a vehicle owner pays close to Rs 6,000 per year towards insurance, fitness, meter seal, pollution and road tax. “If we get an exemption of Rs 450 it would help us," he requested.