THE KARNATAKA MOTOR VEHICLES TAXATION (SECOND AMENDMENT) ACT, 2023 (Received the assent of the Governor on the 30th day of December, 2023) KARNATAKA ACT NO. 34 OF 2023 (First Published in the Karnataka Gazette Extra-ordinary on the 30th day of December, 2023) An Act further to amend the Karnataka Motor Vehicles Taxation Act, 1957. Whereas it is expedient further to amend the Karnataka Motor Vehicles Taxation Act, 1957 (Karnataka Act 35 of 1957) for the purpose hereinafter appearing: Be it enacted by the Karnataka State Legislature in the seventy fourth year of the Republic of India as follows: 1. Short title and commencement.- (1) This Act may be called the Karnataka Motor Vehicles Taxation (Second Amendment) Act, 2023. (2) It shall come into force with effect from 01-01-2024. 2. Amendment of section 3.- In the Karnataka Motor Vehicles Taxation Act, 1957 (Karnataka Act 35 of 1957) (hereinafter referred to as the Principal Act), in section 3 in sub-section (1), in the fifth proviso,- (i) in clause (aa), for the figures and letters "5500 kgs", the figures and letters "12,000 kgs'" shall be substituted; and (ii) in clause (d), for the words " fifteen", the words " ten" shall be substituted. 3. Amendment of section 4.- In section 4 of the Principal Act, in sub-section (1),- (i) in the fourth proviso, for the words "Rupees fifteen lakhs", the words "Rupees ten lakhs" shall be substituted; (ii) in the fifth proviso for the figures and letters "3000 kgs" and "1st day of April, 2007" the figures and letters "12,000 kgs" and letters "1st day of January, 2024" shall be substituted respectively; (iii) in sub-section (3), after the second proviso, the following shall be inserted, namely:- "Provided also that, in case of new vehicle registered or other State goods vehicles migrating to this State having GVW exceeding 1500kgs but not exceeding 12000 kgs, tax levied shall be levied under Part-A6. Provided also that, in case of new vehicle registered or other State motor cab vehicles migrating to this State tax shall be levied under Part-A8." 4. Amendment of section 7.- In Section 7 of the Principal Act, in sub- section (3), after the second proviso, the following shall be inserted, namely:- "Provided further that, the registered owner who has paid the tax in part under clause (i) of third proviso of sub-section (3) of section 4 shall not be entitled for a refund of tax, unless the tax is paid in full". 5. Amendment of Schedule.- In the Schedule to the Principal Act,- (1) In Part-A:- (i) In item 2 for figures, letter and words “invalid carriage”, the figures, letter and words “invalid carriage/Adapted vehicle/ Divyangjan (availing GST Concession)” shall be substituted; (ii) In item 3, in sub-item (1), clause (c) after the figures and letters "12,000 kgs", the words “already registered vehicles in the state” shall be inserted; (iii) In item 4, in sub-item (1), before the word "Vehicles", the words, “Already registered in the state” shall be inserted; (iv) In item 8, clause (f), sub-item (i), for figures, "20" the figures, "100" shall be substituted; and (v) In item 8, clause (f), sub-item (ii), for figures, "80" the figures, "200" shall be substituted. (2) For Part A5 and the entries relating thereto, the following shall be substituted, namely:- “PART A5 (See Section 3(1)) Lifetime Tax for Motor cars, Jeeps, Omni Buses and Private Service Vehicles. Sl No | Class of vehicles | Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which does not exceed Rs. 5 Lakhs. | Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceedsRs 5 Lakhs but does not exceeding Rs.10 Lakhs | Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceeds Rs10 Lakhs but does not exceedin g Rs20 Lakhs | Motor cars, Jeeps, Omni Buses and Private Service Vehicles having floor area up to 5 Sq. Mtrs, cost of which exceeds Rs.20 Lakhs. | 1 | 2 | 3 | 4 | 5 | 6 | A | At the time of Registration of New Vehicle | 13 % of cost of the Vehicle | 14 % of the cost of the Vehicle | 17% of the cost of the Vehicle | 18% of the cost of the Vehicle | B | If the vehicle is already registered and its age from the month of Registration is: | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | 1 | Not more than 2 years | 93% | 93% | 93% | 93% | 2 | More than 2 Years but not more than 3 Years | 87% | 87% | 87% | 87% | 3 | More than 3 Years but not more than 4 Years | 81% | 81% | 81% | 81% | 4 | More than 4 Years but not more than 5 Years | 75% | 75% | 75% | 75% | 5 | More than 5 Years but not more than 6 Years | 69% | 69% | 69% | 69% | 6 | More than 6 Years but not more than 7 Years | 64% | 64% | 64% | 64% | 7 | More than 7 Years but not more than 8 Years | 59% | 59% | 59% | 59% | 8 | More than 8 Years but not more than 9 Years | 54% | 54% | 54% | 54% | 9 | More than 9 Years but not more than 10 Years | 49% | 49% | 49% | 49% | 10 | More than 10 Years but not more than 11 Years | 45% | 45% | 45% | 45% | 11 | More than 11 Years but not more than 12 Years | 41% | 41% | 41% | 41% | 12 | More than 12 Years but not more than 13 Years | 37% | 37% | 37% | 37% | 13 | More than 13 Years but not more than 14 Years | 33% | 33% | 33% | 33% | 14 | More than 14 Years but not more than 15 Years | 29% | 29% | 29% | 29% | 15 | More than 15 years | 25% | 25% | 25% | 25% |
(1) For Part A6 and the entries relating thereto, the following shall be substituted, namely:- “PART A6 (See Section 3(1)) Life time tax for goods vehicles having gross vehicle weight exceeding 1,500 Kgs. But not exceeding 12,000 Kgs. In weight laden, whether used for hire or reward or not. Item No. | Class of Vehicles | Goods vehicle having gross vehicle weight exceeding 1500 Kgs. and not exceeding 2000 Kgs. | Goods vehicle having gross vehicle weight exceeding 2000Kgs. and not exceeding 3000Kgs. | Goods vehicles having gross vehicle weight exceeding 3,000Kgs. and not exceeding 5,500Kgs. | Goods vehicles having gross vehicle weight exceeding 5,500Kgs. and not exceeding 7,500Kgs. | Goods vehicles having gross vehicle weight exceeding 7,500Kgs. and not exceeding 9,500Kgs. | Goods vehicles having gross vehicle weight exceeding 9,500Kgs. and not exceeding 12,000Kgs. | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | A | At the time of Registration of New Vehicle | 20,000 | 30,000 | 40,000 | 60,000 | 80,000 | 1,00,000 | B | If the vehicle is already registered and its age from the month of Registration is: | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | 1 | Not more than | 93% | 93% | 93% | 93% | 93% | 93% | | 2 years | | | | | | | 2 | More than 2 Years but not more than 3 Years | 87% | 87% | 87% | 87% | 87% | 87% | 3 | More than 3 Years but not more than 4 Years | 81% | 81% | 81% | 81% | 81% | 81% | 4 | More than 4 Years but not more than 5 Years | 75% | 75% | 75% | 75% | 75% | 75% | 5 | More than 5 Years but not more than 6 Years | 69% | 69% | 69% | 69% | 69% | 69% | 6 | More than 6 Years but not more than 7 Years | 64% | 64% | 64% | 64% | 64% | 64% | 7 | More than 7 Years but not more than 8 Years | 59% | 59% | 59% | 59% | 59% | 59% | 8 | More than 8 Years but not more than 9 Years | 54% | 54% | 54% | 54% | 54% | 54% | 9 | More than 9 Years but not more than 10 Years | 49% | 49% | 49% | 49% | 49% | 49% | 10 | More than 10 Years but not more than 11 Years | 45% | 45% | 45% | 45% | 45% | 45% | 11 | More than 11 Years but not more than 12 Years | 41% | 41% | 41% | 41% | 41% | 41% | 12 | More than 12 Years but not more than 13 Years | 37% | 37% | 37% | 37% | 37% | 37% | 13 | More than 13 Years but not more than 14 Years | 33% | 33% | 33% | 33% | 33% | 33% | 14 | More than 14 Years but not more than 15 Years | 29% | 29% | 29% | 29% | 29% | 29% | 15 | More than 15 years | 25% | 25% | 25% | 25% | 25% | 25% |
(1) For Part A8 and the entries relating thereto, the following shall be substituted, namely:- “PART A8 (See section 3(1)) Lifetime Tax for Motor Cabs other than those registered out- side the State and covered with the permit issued under sub-section (9) of Section 88 of the Motor Vehicle Act 1988(Central Act 59 of 1988). Sl No | Class of vehicles | Cost of the vehicle which exceeds Rs. 10 Lakhs but does not exceeding Rs. 15 Lakhs | Cost of the vehicle which exceeds Rs. 15 Lakhs | A | At the time of Registration of New Vehicles | 9% of the cost of the vehicle | 15% of the cost of the vehicle | B | If the vehicle is already registered and its age from the month of Registration is: | Percentage of the Life Time Tax levied under Clause A | Percentage of the Life Time Tax levied under Clause A | 1 | Not more than 2 years | 93% | 93% | 2 | More than 2 Years but not more than 3 Years | 87% | 87% | 3 | More than 3 Years but not more than 4 Years | 81% | 81% | 4 | More than 4 Years but not more than 5 Years | 75% | 75% | 5 | More than 5 Years but not more than 6 Years | 69% | 69% | 6 | More than 6 Years but not more than 7 Years | 64% | 64% | 7 | More than 7 Years but not more than 8 Years | 59% | 59% | 8 | More than 8 Years but not more than 9 Years | 54% | 54% | 9 | More than 9 Years but not more than 10 Years | 49% | 49% | 10 | More than 10 Years but not more than 11 Years | 45% | 45% | 11 | More than 11 Years but not more than 12 Years | 41% | 41% | 12 | More than 12 Years but not more than 13 Years | 37% | 37% | 13 | More than 13 Years but not more than 14 Years | 33% | 33% | 14 | More than 14 Years but not more than 15 Years | 29% | 29% | 15 | More than 15 years | 25% | 25% |
(1) For Part C5 and the entries relating thereto, the following shall be substituted, namely:- “PART C5 (See Section 7(3)) Refund table for goods vehicles having gross vehicle weight exceeding 1,500 Kgs. But not exceeding 12,000 Kgs. in respect of which lifetime tax is paid under Part A6 Sl. No. | If after the registration removal of vehicles or cancellation of Registration of vehicle taken place. | Percentage of Life Time Tax paid to be refunded | 1 | Within a year | 93% | 2 | After 1 year but within 2 years | 87% | 3 | After 2 year but within 3 years | 81% | 4 | After 3 year but within 4 years | 75% | 5 | After 4 year but within 5 years | 69% | 6 | After 5 year but within 6 years | 64% | 7 | After 6 year but within 7 years | 59% | 8 | After 7 year but within 8 years | 54% | 9 | After 8 year but within 9 years | 49% | 10 | After 9 year but within 10 years | 45% | 11 | After 10 year but within 11 years | 41% | 12 | After 11 year but within 12 years | 37% | 13 | After 12 year but within 13 years | 33% | 14 | After 13 year but within 14 years | 29% | 15 | After 14 year but within 15 years | 25% | 16 | After 15 years | Nil |
(1) For Part C7 and the entries relating thereto, the following shall be substituted, namely:- “PART C7 (See section 7(3)) Refund Table for Motor Cab cost of which exceeds Rs 10 Lakhs Sl.No. | If after the registration removal of vehicles or cancellation of Registration of vehicle taken place. | Percentage of Life Time Tax paid to be refunded | 1 | Within a year | 93% | 2 | After 1 year but within 2 years | 87% | 3 | After 2 year but within 3 years | 81% | 4 | After 3 year but within 4 years | 75% | 5 | After 4 year but within 5 years | 69% | 6 | After 5 year but within 6 years | 64% | 7 | After 6 year but within 7 years | 59% | 8 | After 7 year but within 8 years | 54% | 9 | After 8 year but within 9 years | 49% | 10 | After 9 year but within 10 years | 45% | 11 | After 10 year but within 11 years | 41% | 12 | After 11 year but within 12 years | 37% | 13 | After 12 year but within 13 years | 33% | 14 | After 13 year but within 14 years | 29% | 15 | After 14 year but within 15 years | 25% | 16 | After 15 years | Nil |
1. Repeal.- The Karnataka Motor Vehicles Taxation (Amendment) Act, 2023 (Karnataka Act 31 of 2023) is hereby repealed. 2. Power to remove difficulty.- (1) If any difficulty arises in giving effect to the provisions of the Karnataka Motor Vehicles Taxation (Second Amendment) Act, 2023 the State Government may, by notification in the Official Gazette, make such provisions as may appear to it to be necessary or expedient for purpose of removing the difficulty: Provided that, no such order shall be made after the expiry of a period of two years from the date of commencement of the Karnataka Motor Vehicles Taxation (Second Amendment) Act, 2023. (2) Every order made under sub-section (1), shall as soon as after it is made, be laid before the State Legislature. |
