Government just increased the tax rate and advanced tax on cars and vehicles in the 2014-15 budget.
Proposed advance tax rate for upto 850cc vehicles is 10,000 rupees for both return filers and non-filers while for 851cc to 1000cc, proposed tax is 20,000 rupees for filers and 25,000 rupees for non-filers.
From 1001cc to 1300cc, the new proposed tax rate is of 30,000 rupees on filers and an additional 10,000 rupees has to be paid for non-filers. Moving upward, cars and vehicles from 1301cc to 1600cc have a proposed tax rate of 50,000 rupees for filers and 100,000 rupees for non-filers.
From here on, things just keep on getting worse from here. For 16o1cc to 1800cc, the proposed tax rate is 75,000 rupees for filer and double that (150,000 rupees) for non-filers. For 1801cc to 2000cc, the new tax rate is 100,000 rupees for filers and 200,000 for non-filers. For 2001cc to 2500cc, 150,000 rupees for filers and 300,000 rupees for non-filers. For 2501cc to 3000cc, 200,000 rupees for filers and 400,000 rupees for non-filers. Vehicles above 3000cc, the tax rate is proposed to be 250,000 rupees for filers and 450,000 rupees for non-filers.
Speaking about private cars, for up to 1000cc, both filers and non-filers will be subjected to 1,000 rupees tax. For 1001cc to 1199cc, the tax rate is proposed to be 1,800 rupees for filers and 3,600 rupees for non-filers. From 1200cc to 1299cc, tax rate would be 2,000 rupees for filers and 4,000 rupees for non-filers. Moving upwards, the proposed tax rate is 3,000 rupees for filers and 6,000 rupees for non-filer in the range 1300cc to 1499cc.
From 1500cc to 1599cc, 4,500 rupees for filers and 9,000 rupees for non-filers while 1600cc to 1999cc will have to pay 6,000 rupees for filers and 12,000 rupees for non-filers. For 2000cc and above, the proposed tax rate is 12,000 rupees for filers and 24,000 rupees for non-filers.
When the motor vehicle tax is collected in full, 10,000 rupees tax rate is proposed for for both filers and non-filers.
From 1001cc to 1199cc, the new tax rate which is proposed to be 18,000 rupees for filers and double that amount for non-filers. Similarly, for 1200cc to 1299cc, the tax rate would be 20,000 rupees for filers and double that for non-filers.
Moving on, from 1300cc to 1499cc, the new tax rate proposed, would be 30,000 for filers and double that for non-filers while, 1500cc to 1599cc car owners will have to pay 45,000 rupees for filers and double that for non-filers. For 1600cc to 1999cc, the proposed tax rate is Rs60,000 for filers and double that for non-filers. For 2000cc and above, 120,000 rupees is proposed for filers and 240,000 rupees for non-filers.
Filers are those who file their tax and non-filers are those who don’t.