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Karnataka Motor Vehicles Taxation (Amendment) Act, 2024
[Karnataka Act 12 of 2024][6th March, 2024]

CONTENTS

1. Short title and commencement

2. Amendment of Section 3

3. Amendment of Section 3-A

4. Amendment of schedule

5. Power to remove difficulty

 

An Act further to amend the Karnataka Motor Vehicles Taxation Act, 1957.

Whereas it is expedient further to amend the Karnataka Motor Vehicles Taxation Act, 1957 (Karnataka Act 35 of 1957) for the purpose hereinafter appearing:

Be it enacted by the Karnataka State Legislature in the seventy fifth year of the Republic of India as follows:

1. Short title and commencement.—(1) This Act may be called the Karnataka Motor Vehicles Taxation (Amendment) Act, 2024.

(2) It shall come into force at once.

2. Amendment of ## Section 3.—In the Karnataka Motor Vehicles Taxation Act, 1957 (Karnataka Act 35 of 1957) (hereinafter referred to as Principal Act), in Section 3, in sub-section (1), in the fourth proviso, for clause (c), the following shall be substituted, namely:—

“(c) In case of Construction Equipment Vehicles (as defined in clause (cab) of Rule 2 of the Central Motor Vehicles Rules, 1989) and vehicles fitted with air compressor and generator, tax shall be levied at the rates specified in Part-A7 of the schedule.”

3. Amendment of ## Section 3-A.—In the Principal Act, in Section 3-A, after sub-section (1) the following shall be inserted, namely:—

“(1A) In addition to the existing cess of the tax levied under Section 3 on the Motor Vehicles registered under the Motor Vehicles Act, 1988 (Central Act 59 of 1988), 3% additional cess shall be levied and collected on the transport vehicles for the purpose of the Karnataka Motor Transport and Other Allied Workers Social Security and Welfare Fund.”

4. Amendment of schedule.—In the Schedule to the Principal Act,—

(i) For Part A5 and the entries relating thereto, the following shall be substituted, namely:—

PART A5

(See Section 3(1))

Lifetime Tax for Motor cars, Jeeps, Omni Buses and Private Service Vehicles.

Sl. No.

Class of vehicles

Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which does not exceeds Rs. 5 Lakhs

Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceeds Rs. 5 Lakhs but does not exceeds Rs. 10 Lakhs

Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceeds Rs. 10 Lakhs but does not exceeds Rs. 20 Lakhs

Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceeds Rs. 20 Lakhs

Motor cars, Jeeps, Omni Buses and Private Service Vehicles run on Electricity having cost of the vehicle which exceeds Rs. 25 Lakhs

1

2

3

4

5

6

7

A

At the time of Registration of New Vehicle

13 % of cost of the Vehicle

14 % of the cost of the Vehicle

17% of the cost of the Vehicle

18% of the cost of the Vehicle

10% of the cost of the Vehicle

B

If the vehicle is already registered and its age from the month of Registration is:

Percentage of the Life Time Tax levied under Clause A

Percentage of the Life Time Tax levied under Clause A

Percentage of the Life Time Tax levied under Clause A

Percentage of the Life Time Tax levied under Clause A

Percentage of the Life Time Tax levied under Clause A

1

Not more than 2 years

93%

93%

93%

93%

93%

2

More than 2 Years but not more than 3 Years

87%

87%

87%

87%

87%

3

More than 3 Years but not more than 4 Years

81%

81%

81%

81%

81%

4

More than 4 Years but not more than 5 Years

75%

75%

75%

75%

75%

5

More than 5 Years but not more than 6 Years

69%

69%

69%

69%

69%

6

More than 6 Years but not more than7 Years

64%

64%

64%

64%

64%

7

More than 7 Years but not more than 8 Years

59%

59

59%

59%

59%

8

More than 8 Years but not more than 9 Years

54%

54%

54%

54%

54%

9

More than 9 Years but not more than10 Years

49%

49%

49%

49%

49%

10

More than 10 Years but not more than 11 Years

45%

45%

45%

45%

45%

11

More than 11 Years but not more than 12 Years

41%

41%

41%

41%

41%

12

More than 12 Years but not more than 13 Years

37%

37%

37%

37%

37%

13

More than 13 Years but not more than 14 Years

33%

33%

33%

33%

33%

14

More than 14 Years but not more than 15 Years

29%

29%

29%

29%

29%

15

More than 15 years

25%

25%

25%

25%

25%

 

(ii) In Part A7, for the heading “Lifetime Tax for Construction Equipment Vehicles (As defined under Rule 2(ca) of the Central Motor Vehicle Rules, 1989) and vehicles fitted with Air Compressor and Generators” the heading “Lifetime Tax for Construction Equipment Vehicles (As defined under clause (cab) of Rule 2 of the Central Motor Vehicle Rules, 1989) and vehicles fitted with Air Compressor and Generators” shall be substituted.

(iii) In Part C6, for the heading “Refund Table for Construction Equipment Vehicles (As defined under Rule 2(ca) of Central Motor Vehicle Rules, 1989) and vehicles fitted with Air Compressor or Generators” the heading “Refund Table for Construction Equipment Vehicles (As defined under clause (cab) of Rule 2 of the Central Motor Vehicle Rules, 1989) and vehicles fitted with Air Compressor or Generators” shall be substituted.

5. Power to remove difficulty.—(1) If any difficulty arises in giving effect to the provisions of the Karnataka Motor Vehicles Taxation (Amendment) Act, 2024, the State Government may, by notification in the Official Gazette, make such provisions as may appear to it to be necessary or expedient for purpose of removing the difficulty:

Provided that, no such order shall be made after the expiry of a period of two years from the date of commencement of the Karnataka Motor Vehicles Taxation (Amendment) Act, 2024.

(2) Every order made under sub-section (1), shall as soon as after it is made, be laid before the State Legislature.