The road tax exemption available for electric cars in Telangana has been replaced with a levy ranging from 11-15%, a move that could surprise many potential EV buyers.
“Their policy has changed... till recently there was zero tax, now they have [introduced] life tax depending on the electric car’s price points,” MG Motor India Deputy Managing Director Gaurav Gupta said. Road tax, also referred to as life tax, is levied by transport department at the time of registering a vehicle.
While government officials did not respond to messages, sources in the automobile industry confirmed the introduction of the levy. Interestingly, this has come even as there is a growing emphasis of the government to promote the State as a preferred destination for the emerging e-mobility sector.