Himachal Pradesh Vehicle Tax

Himachal Pradesh vehicle tax is levied as excise duty on every motor vehicle used or kept for use in Himachal Pradesh at the rates specified by the State Government for each type of vehicle. The Government of Himachal Pradesh has conferred the power of levying vehicle tax under the Himachal Pradesh Motor Vehicle Taxation Act, 1974. According to this Act, the registered owner or any person having possession control of a motor vehicle has to pay Himachal Pradesh Vehicle Tax. On payment of this Vehicle Tax, Department of Transport, Government of Himachal Pradesh issues a token to the registered owner. In this article, we will look at Himachal Pradesh Vehicle Tax in detail.

Himachal Pradesh Motor Vehicle Taxation Act

Himachal Pradesh Motor Vehicle Taxation Act consolidates the laws relating to the levy of tax on motor vehicles and passengers and goods carried by such vehicles in Himachal Pradesh. According to this HPMVT act, no vehicle tax will be levied on a motor vehicle kept by a dealer or a manufacturer of the car for trade and used under the authorisation of a trade certificate granted by the registering authority. Know more about Input Tax Credit on Motor Vehicle

Himachal Pradesh Vehicle Tax – Eligibility

According to this act, the person who has transferred the ownership or has ceased to be in possession or control of below-mentioned vehicle has to pay Himachal Pradesh Vehicle Tax:

Non-Transport Vehicles
Goods Carriages – Light Motor Vehicles, Medium Goods Motor, Heavy Goods Motor Vehicles
Stage Carriages - Ordinary/express/semi Deluxe/ Deluxe/Air Conditioned buses, Mini Buses
Contract Carriages – Maxi Cabs, Motor Cab, Auto Rickshaw
Buses for Contract carriages
Construction Equipment Vehicles
Recovery Vans
Ambulance
Hearse (dead body van)
Private Service Vehicles – Educational Institution Bus

Himachal Pradesh Vehicle Tax – Exemption

The following vehicle owners are exempted from the payment of Himachal Pradesh Vehicle Tax:

Vehicles owned by disabled persons used solely for the conveyance of those persons can claim exempt from the amount of vehicle tax.
The vehicles used only for agricultural purposes will be exempted from payment of Himachal Pradesh vehicle tax.

Determination of rate of Vehicle Tax

While registering a motor vehicle in Himachal Pradesh, the Registering Authority will verify the particulars furnished in the application and determine the rate at which the motor vehicle is liable to pay tax under the HPMVT act. The authority will make an endorsement on the certificate of registration in bold letters mentioning the class of the vehicle and also the annual rate of vehicle tax payable under this Act.

Himachal Pradesh Vehicle Tax Schedule (Rate)

The State Government has powers to increase the rate of vehicle tax from time to time. You can get up to date Vehicle Tax rate details from the official website of HP Transport Department. You can also refer the Himachal Pradesh vehicle tax current rate from the table enclosed here.

Rates of Vehicle Tax for Personalized Vehicles - Non-Transport

Rates of Himachal Pradesh Vehicle Tax for the personalized vehicle are tabulated here:

S.No	Class of Motor Vehicles	Tax Rate
1	Motor Cycle or scooters having engine Capacity up to 50 C.C	Three per cent of the price of the Motorcycle/Scooter
2	Motor Cycle or scooters having engine Capacity above 50 C.C	Four per cent of the price of the Motorcycle/Scooter
3	Personal Motor vehicles having an engine capacity of more than 1000 CC	Two and a half per cent (2.5 %) of the price of the private motor vehicle
4	The personal motor vehicle having engine capacity above 1000 CC	3 % of the price of the personal motor vehicle

Rates of Vehicle Tax for Transport Vehicles

The rate of vehicle tax for transport vehicle is tabulated here:

S.No	Class of Motor Vehicles	Tax Rate
1	Light motor vehicles (for first fifteen years from the time of registration)	Rs.1500 per annum
	Light Motor Vehicles (after 15 years )	Rs. 1650 per annum
	Medium goods motor vehicles (for first fifteen years from the date of registration	Rs.2000 per annum
	Medium Goods Motor Vehicles (after fifteen years)	Rs.2200 per annum
	Heavy goods motor vehicles (for first fifteen years from the date of registration)	Rs.2500 per annum
	Heavy Goods Motor Vehicles (after fifteen years)	Rs.2750 per annum
2	Stage Carriages
	Express, Ordinary, Semi Deluxe, Deluxe/Air Conditioned buses (for first fifteen years from the date of registration)	Rs. 500 per seat per annum(subject to the maximum of rupees 35000 per annum)
	Ordinary, express, semi deluxe or air Conditioned buses (after fifteen years)	Rs.550 per seat per annum (subject to the maximum of amount 35000 per annum
	Mini Buses (for first fifteen years from the date of registration)	Rs.500 per seat per annum ( The maximum of rupees 25000 per annum
	Mini Buses (after fifteen years)	Rs.550/- per seat per annum (Subject to the maximum of rupees 25000/-per annum
3	Contract Carriage
	Maxi Cabs	Rs.750/- per seat per annum (Subject to the maximum of rupees 15000/-per annum
	Motor Cab	Rs.350/- per seat per annum (Subject to the maximum of rupees 10000/-per annum
	Auto Rickshaw	Rs.200/- per seat per annum (Subject to the maximum of rupees 5000/-per annum)
	Buses for the Contract carriages	Rs.1000 per seat per annum (Subject to the maximum of rupees 52000 per annum
4	Private Service vehicle or Buses owned by all private institutions and other buses not covered above (for first fifteen years from the date of registration)	Rs.500/-per seat per annum
4	Private Service vehicle or Buses owned by all private institutions and other buses not covered above (after 15 years)	Rs.550/-per seat per annum
5	Private Service Motor cabs owned by the Commercial organisation and used to carry persons on behalf of the owner of the vehicles or in connection with his/her business (for first 15 years from the date of registration)	Rs.500/-per seat per annum
5	Private Service Motor Cabs owned by the Commercial organisation and used to carry persons on behalf of the owner of the vehicle for or in connection with his business otherwise ban for hire and reward (after 15 years)	Rs.550 per seat per annum
6	Construction Equipment Vehicle
	Light vehicle (maximum mass not exceeding 7.5 tones)	Rs.8000/- per annum
	Medium vehicle (Mass above 7.5.tones to 12 tones)	Rs.11000/- per annum
	Heavy (Maximum Mass exceeding 12 tones)	Rs.14000/- per annum
7	Recovery Vans
	Light (maximum mass up to 7.5 tones	Rs.5000 per annum
	Medium (maximum mass of 7.5.tones to 12 tones)	Rs.6000/- per annum
	Heavy (Maximum Mass exceeding 12 tones)	Rs.7000/- per annum
8	Ambulance	Rs.1500/-per annum
9	Hearse (dead body van)	Rs.1500/- per annum

Prescribed Period for Tax Payment

The tax levied under TNMVT act will have to be paid in the manner prescribed by the registered owner or by any other person having possession or control of the motor vehicle, at his choice, either quarterly, half-yearly or annually, on a license to be taken out by him for that quarter, half-year or year. The tax due under this Act will have to be paid within the prescribed period. The vehicle tax levied under HP motor vehicle taxation act has to be paid in advance:

The tax need to be paid by the seventh of the month if the vehicle tax for the previous period has been paid for the period less than a quarter.
The vehicle tax has to be paid by the 15th of the month if the HP vehicle tax for the previous period has been paid for one or more quarters
Vehicle tax needs to be paid by the last date of the month if the vehicle tax for previous period has been paid for a year.

The penalty for Delay in Payment of Tax

If the owner the vehicle fails to pay the Himachal Pradesh Vehicle tax due under HP motor vehicle taxation Act, within the time specified, the owner has to pay the penalty at the rate of twenty-five per cent per annum of the tax due from him/her.

The penalty so levied will be computed proportionately on day to day basis in case of the delay period is less than one year, and it will not exceed the sum of vehicle tax due from such owner at the time of computing the penalty.
The penalty will be calculated on the 16th day of every month which will be the defined point of time to calculate the penalty, and the upper ceiling of penalty will be the cumulative arrears of vehicle tax due on the date of computation of penalty.

Payment of Himachal Pradesh Vehicle Tax

Himachal Pradesh vehicle tax payment procedure is explained here: Step 1: The registered vehicle owner or his authorised agent will have to be paid the Himachal Pradesh vehicle tax in the office of the Taxation Authority. Note: The place for payment of vehicle tax will be specified by the Commissioner, Himachal Pradesh, from time to time and different locations may be determined for the different class of vehicles. Step 2: The HP vehicle tax can be paid to the Taxation Authority in cash. The payment in cash will be deposited into a Himachal Pradesh Government Treasury. Step 3: Along with the payment of the tax the persons liable for such tax need to submit a declaration prescribed format to the Taxation Authority. We have here with attached a declaration form for Himachal Pradesh Vehicle Tax Payment: Note: The form can be sent by registered post or can be presented in person or by a duly authorised agent to the Licensing Authority. The form of declaration can be obtained from any Taxation Authority, Secretary or any Secretary, Regional Transport Authority.

Issue of Token

After the payment of vehicle tax due and all the relevant documents have been found in order, a token in prescribed format will be issued to the registered owner or his authorized agent. The token contains the following information:

The amount paid
The registration number of the vehicle
The period for which the HP vehicle tax has been paid

Endorsement on Registration Certificates

The amount of penalty imposed under this HPMVT act has been recovered along with the arrears of vehicle tax an endorsement in respect of such a recovery will be made on the certificate of registration.

Payment of Tax for Vehicles Registered in Other State

Payment of every amount due in respect of the transport vehicles of any other States used or kept for use in any public places in Himachal Pradesh will be paid either by money order or by a bank draft for the value for which payment is required. The HP vehicle tax needs to be paid to the Secretary, Himachal Pradesh Transport Authority.

Display of Token

The token will have to be displayed prominently on the motor vehicle at all times whether it is in use or kept in any public place in a below-mentioned manner:
- In the case of motorcycles, motorcycles with sidecars, motor tricycle or motor scooters, in a conspicuous place on the left side of the vehicle.
- For other motor vehicles, token needs to be affixed to the bottom left-hand corner of the windscreen facing forward
- If the motor vehicle is not fitted with a windscreen then in some other conspicuous place on the left-hand side of the vehicle.
The token will have to be placed on the vehicle as to be visible at all time by daylight to a person standing near the left side of the motor vehicle whether such a vehicle is stationary or moving
If the validity of the token has expired, it needs to be removed on the expiry of the period

The issue of Duplicate Token

If the HP vehicle tax token is lost or destroyed, the fact will have been reported to the Taxation Authority. After verification, the Taxation Authority will issue a duplicate token prominently marked as “Duplicate”. To obtain Duplicate token rupee of fee Rs, two have to be paid.

Refund of Himachal Pradesh Vehicle Tax

The tax for any motor vehicle has been paid for any quarter, half-year, year or lifetime and the vehicle has not been used in any public road during the whole of that quarter, half year, year or the lifetime or a continuous ( not being less than one month) the tax will be refunded to the owner. The HP Government will notify the rate of a refund amount from time to time. Every person claiming a refund of tax needs to submit an application in prescribed format to the prescribed authority along with the certificate of registration and the token on payment of the vehicle tax concerned.