Green Push: Maharashtra Doubles Down on Old Vehicle Tax, Caps Crane Levy

Date:

Mumbai, April 2026: The Maharashtra Government has approved amendments to the Motor Vehicles Tax Act 1958, introducing higher taxes on vehicles older than 15 years while placing a maximum tax cap on crane vehicles. The move is aimed at reducing pollution and supporting the infrastructure sector.

Steep Hike in Tax for Old Vehicles

As per the revised provisions, vehicles older than 15 years will now attract a higher green tax , payable at the time of renewal of fitness certificates every five years.

Revised tax rates (for 5 years):

Two-wheelers: ₹2,000 (BS-VI), ₹4,000 (BS-IV & older)
Petrol cars: ₹3,000 (BS-VI), ₹6,000 (BS-IV & older)
Diesel cars: ₹3,500 (BS-VI), ₹7,000 (BS-IV & older)

The increase is significant, with rates nearly doubling for older, more polluting vehicles , signaling a stricter stance on emissions.

Focus on Pollution Control

The amendment aligns with India’s stricter emission framework, including BS VI emission standards, and aims to:

Discourage the use of outdated vehicles
Promote cleaner and fuel-efficient alternatives
Accelerate the shift toward electric mobility

Officials said the policy forms part of a broader environmental strategy to improve air quality across urban centres in Maharashtra.

Relief for Construction Sector

In a major relief for infrastructure and construction companies, the government has introduced a cap of ₹30 lakh on motor vehicle tax for cranes.

This measure is expected to:

Lower operational costs for heavy equipment owners
Boost infrastructure and real estate activity
Provide clarity and predictability in taxation
Balanced Policy Approach

The amendment reflects a “carrot and stick” strategy:

Higher taxes to discourage polluting vehicles
Incentives and relief measures to encourage modernization and industrial growth
What It Means

Vehicle owners with cars or two-wheelers older than 15 years will face higher recurring tax liabilities , while businesses using cranes will benefit from a tax ceiling .
The state government is expected to issue detailed implementation guidelines soon.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

spot_imgspot_img

Popular

More like this
Related

PM Modi Inaugurates 10th India Mobile Congress, Highlights India’s 5G Expansion and Digital Growth

Prime Minister Narendra Modi inaugurated the 10th edition of...

Pralhad Joshi Inaugurates Windergy India 2026, Highlights India’s 100 GW Wind Capacity Target by 2030

Union Minister for New and Renewable Energy Pralhad Joshi...

India Highlights Renewables, Energy Security and Regional Resilience at EAS Ministers’ Meeting

India has called for strong regional cooperation regarding energy...

IICT, YouTube Unveil Four AI-Enabled Films in Mumbai Under ‘Create with AI’ Programme

Mumbai: Four AI-enabled short films were unveiled at the...