Withholding tax on vehicle registration increased by 200%

Web Desk — On the first day of vehicle registration in the new financial year, there has been a huge increase in registration and transfer fees.

Excise officials said that withholding tax on vehicle transfers would be collected for 10 years instead of 5 years.

Earlier, after 5 years, the vehicle transfer and holding tax were abolished. The withholding tax for non-filers on new registrations and transfers was increased by 200%. The income tax rate on token tax on commercial vehicles was also increased.

Increased income tax from Rs. 300 per seat with the token tax on non-AC 20 sets or larger vehicles to Rs. 4,000 for filers and 8,000 for non-filers.

According to excise sources, Capital Value Tax will be levied at the rate of 1% of the total value of a vehicle of 13 cc or above. Capital Value Tax has been levied on vehicle registration for the first time.