Environmental tax on vehicles older than 15 years to discourage pollution. Applicable on RC renewal after 15 years for private vehicles and 8-10 years for commercial vehicles.
How much is green tax?+
Varies by state and vehicle type. Typical: 10-25% of original road tax for private cars, 2.5% of new vehicle cost in some states. Diesel charged higher than petrol. EVs and CNG often exempt.
When applicable?+
Private vehicles: After 15 years, charged at every 5-year RC renewal. Commercial: After 8 years, charged annually. Some states from 10th year for personal vehicles.
Old vehicle ban in cities?+
Delhi NCR bans diesel >10 years and petrol >15 years. Mumbai, Bangalore have similar policies. Cannot register old vehicles in pollution-restricted zones.
How to avoid green tax?+
Options: 1) Sell to less restrictive state, 2) Convert to CNG/electric (some exemptions), 3) Scrap under Vehicle Scrappage Policy 2022 - get certificate worth 4-6% of new vehicle cost.
Vehicle Scrappage Policy benefits?+
India Scrappage Policy 2022 incentivizes scrapping old vehicles. Get certificate worth 4-6% of new vehicle cost as discount. Mandatory fitness test for old - if fail, scrap.
Diesel vs petrol green tax?+
Diesel charged higher green tax (25-50% more) due to higher pollution. Petrol gets standard rate. CNG and electric vehicles often exempt or get 50% concession in most states.
Is green tax refundable?+
Non-refundable as it is environmental levy. Even when scrapping/selling, paid green tax cannot be refunded. Only road tax refund possible on inter-state transfer/scrapping.