Delhi Road Tax

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Delhi Road Tax

Every time you drive through Delhi’s wide roads, flyovers and highways, you witness the impact of road tax contribution. This mandatory government fee is essential to maintain and improve Delhi’s vast road network. The road tax is collected by the Delhi government transport department. The fund collected from road tax contributes to the city’s transport infrastructure.

Thus, as a vehicle owner commuting daily on Delhi roads, it is crucial to comply with the requirement of paying the Delhi road tax. The amount of road tax you pay depends on several factors, including your vehicle’s weight, price, fuel variant, and vehicle type. Electric and hybrid vehicles often enjoy rebates or lower rates as part of the government’s push toward sustainable mobility.

Staying updated on Delhi road tax rules in 2025 will help you manage your finances better and ensure full compliance with the Motor Vehicles Act, 1988. Let us understand the MV Tax in Delhi structure for different vehicles and their payment processes to ensure a smoother experience.

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What is Delhi Road Tax?

In India, under the taxation system, every state government imposes a fee called road tax on all vehicle owners in their state. All road tax payments are directed towards the complete
maintenance of the road quality and network in the country. The Delhi government collects this tax under the Delhi Motor Vehicle Taxation Act, 1962, and every registered vehicle, such as a commercial truck, two-wheeler, or personal car, falls under its purview.

The road tax in Delhi for new cars is an added fee above the basic car registration charges to provide vehicle owners with a smooth driving experience in the state. Each state has its own road tax structure for different vehicle categories based on the specific criteria for each vehicle.

Like insurance and driving licenses, paying road tax is a legal requirement for all vehicle owners. You can pay it easily through Delhi’s online transport portal without visiting an RTO office.

Importance of Road Tax in Delhi

Legal Compliance

Paying road tax is a mandatory requirement. You may incur fines, refusal of a vehicle’s fitness certificate, or even confiscation, for non-payment. Staying compliant with all the laws ensures smooth and lawful vehicle ownership.

Support for Local Infrastructure Projects

A portion of road tax revenue is allocated to local councils for projects such as resurfacing, new parking facilities and other infrastructure enhancements.

Traffic and Environmental Regulation

Road tax policies promote sustainable mobility. By imposing higher taxes on larger or more polluting vehicles and offering benefits for electric or hybrid models, the government encourages eco-friendly transport choices. This helps to regulate traffic congestion.

Revenue Generation

The Delhi government collects the road tax to maintain and improve the city’s road infrastructure. These funds collected are used for road maintenance, infrastructure upgrades, and the development of safer and more efficient transport systems.

Also Read: Road Tax Rules & Regulations for Cars in India

Applicability of Road Tax in Delhi

The Delhi State Government levies the road tax on all vehicle categories in Delhi. When you purchase vehicles for personal or commercial use in Delhi, you must pay a specific road tax to the Delhi State Government. This road tax aims to generate funds that State and Local Governments utilise to maintain existing road infrastructure and develop new roadways.

Additionally, a portion of the road tax is allocated to the Central Government for national transportation initiatives. The funds collected through road tax play a vital role in supporting various activities related to road infrastructure. Here are some of the vehicle types for which the road tax in Delhi is applicable:

Private Vehicles

This category covers all personal vehicles such as cars, motorcycles and scooters. Private vehicle owners must pay road tax at the time of registration. This amount is determined by factors such as engine capacity, fuel type and vehicle cost.

Commercial Vehicles

Delhi road tax for commercial vehicles falls under a separate tax bracket. Since these vehicles typically cover longer distances and cause greater wear and tear on the road, they attract higher tax rates. These vehicles include taxis, buses, goods carriers and delivery vans.

Electric Vehicles

The Delhi government offers attractive incentives on electric vehicles to promote eco-friendly transportation. Most EVs are exempt from road tax and get rebates under Delhi’s Green Mobility initiative. The aim is to make citizens adopt cleaner and greener transport options.

How Delhi Road Tax Works?

Road tax in Delhi depends on factors such as fuel type, engine capacity, weight, vehicle price, and usage. Heavier or high-powered vehicles attract higher rates, whereas older vehicles that pollute more may be taxed differently due to pollution rules.

Commercial vehicles like taxis or goods carriers typically have higher tax rates than private vehicles. The size and seating capacity of the vehicle also influence the tax amount, as larger cars such as SUVs and vans usually pay more. However, electric and hybrid vehicles get tax rebates or full exemptions under Delhi’s green mobility policy.

How is the Road or RTO Tax Calculated in Delhi?

Now that you know how the tax and RTO charges in Delhi are calculated, you must also have a comprehensive idea about the vehicle-specific rates. Here are some of the most important rates:

Road Tax Rate for Commercial Passenger Vehicles

Licensed Capacity (excluding driver/conductor) Annual Tax (₹)
Up to 2 passengers 305
More than 2 but ≤ 4 passengers 605
More than 4 but ≤ 6 passengers 1,130
More than 6 but ≤ 18 passengers 1,915
More than 18 passengers 1,915 + 280 for every additional passenger above 18

Note: The Delhi road tax rates for staff or airline vehicles are the same as those for commercial passenger vehicles.

Road Tax Rate for Goods Transport Vehicles

Laden Weight of Vehicle Annual Tax (₹)
Does not exceed 1 tonne 665
Exceeds 1 tonne but ≤ 2 tonnes 940
Exceeds 2 tonnes but ≤ 4 tonnes 1,430
Exceeds 4 tonnes but ≤ 6 tonnes 1,915
Exceeds 6 tonnes but ≤ 8 tonnes 2,375
Exceeds 8 tonnes but ≤ 9 tonnes 2,865
Exceeds 9 tonnes but ≤ 10 tonnes 3,320
Exceeds 10 tonnes 3,320 + 470 for every additional tonne
Exceeds 10 tonnes + less than 2 tonne trailer 3,320 + 470 for every additional tonne + 465
Exceeds 10 tonnes + more than 2 tonne trailer 3,320 + 470 for every additional tonne + 925

Also Read: RTO Office Delhi - Address, Contact Number & Timings

Factors That Influence Road Tax in Delhi

All vehicle owners in Delhi are responsible for paying the road tax, which is assessed and collected by the Delhi RTO.

The Delhi state government imposes the Delhi road tax for cars or any other vehicle by considering specific criteria for tax calculation. These parameters, set by the government, play a significant role in determining vehicle road tax. The following factors influence the computation of road tax:

  • Seating capacity is an important criterion, especially for commercial vehicles. Vehicles with higher seating capacity, like buses, vans and passenger carriers, are taxed more because they accommodate more passengers and contribute to greater road wear.
  • The type of vehicle is one of the primary factors in road tax. Rates differ for two-wheelers, four-wheelers and vehicles registered outside Delhi. Two-wheelers generally attract lower taxes due to their smaller size and lighter weight, whereas four-wheelers are taxed at higher rates based on their engine power and weight.
  • Another factor is the purpose of usage, that is, whether the vehicle is used for personal or commercial purposes. Personal vehicles like family cars and bikes are taxed at lower rates, whereas commercial vehicles such as taxis, buses and trucks are charged higher taxes.
  • For commercial goods transportation vehicles, the weight of the vehicle also plays an important role. Vehicles are taxed at varying rates based on their registered laden weight, as heavier vehicles attract higher taxes. Additionally, trailers attract additional tax. This depends on the trailer’s unladen weight.
  • Lastly, the ex-showroom price of the vehicle is another critical factor in calculating road tax. Since this price reflects the vehicle’s market value, more expensive vehicles such as luxury cars and high-end bikes are subject to higher taxes.

You can refer to the guidelines outlined in the 1962 Delhi Motor Vehicles Taxation Act to determine the amount of road tax charged by the Delhi RTO. Additionally, utilising the Delhi road tax calculator can assist in accurately calculating the appropriate road tax. Such tools ensure precise calculations based on the relevant parameters.

How to Pay RTO Tax in Delhi?

You can easily make Delhi road tax for commercial vehicles online payment. You can pay the RTO tax in Delhi through both online and offline procedures.

Delhi Road Tax Online Method

  • Step 1: Go to the official e-Vahan Parivahan portal.
  • Step 2: Enter your vehicle registration number and select the state and RTO from the dropdown menu.
  • Step 3: In the drop-down list, choose the “pay tax” tab. This will lead you to the payment area.
  • Step 4: Type in your mobile phone number. This will make the system create an OTP for the verification process.
  • Step 5: Input the OTP to confirm your identity. Make sure all the details regarding the road tax are correct as shown on the screen.
  • Step 6: Type in your details and select any online payment options. It can be done by net banking, digital wallets, or debit/credit card payments.
  • Step 6: For successful payment, follow each procedure up to the end to prevent any interruption.
  • Step 7: Upon successful payment, you can download a copy of the receipt for future reference. It is advisable to keep this receipt as proof of Delhi road tax pay online.

Delhi Road Tax Offline Method

  • Step 1: Locate and go to the nearest RTO in Delhi and carry all the necessary vehicle registration documents.
  • Step 2: Request the Delhi road tax payment form from the RTO counter or official in charge.
  • Step 3: Complete the form with accurate details and attach all required documents. Submit it along with the applicable road tax amount at the designated counter.
  • Step 4: Once the payment is made and the necessary documents are submitted, you will receive a receipt from the RTO office.

Documents Required for Road or RTO Tax Delhi Payment

  • The chassis number is imprinted on the vehicle.
  • A written request letter for the refund or payment of road tax.
  • A copy of both the old and new RC.
  • A copy of the valid vehicle insurance certificate.
  • A copy of the road tax receipt paid in the new state.
  • NOC issued by the previous RTO.
  • Bank account details of the vehicle owner and the address for cheque dispatch.
  • A proof of current residential address, such as Aadhaar, utility bill, or rent agreement.
  • A copy of the previous road tax payment receipt.

Penalties for Not Paying Road Tax in Delhi

If a vehicle owner in Delhi fails to pay road tax on time, the taxation authority may impose a penalty up to the amount of the annual tax payable, in addition to the pending dues.

Any unpaid tax or penalty is recovered in the same manner as arrears of land revenue. The concerned vehicle and its accessories may also be seized and sold to recover the outstanding amount, regardless of who possesses them.

Refunds and Road Tax Transfer Rules in Delhi

Vehicle Scrapped or De-Registered

If you do not use a vehicle and it has been scrapped or permanently deregistered with the RTO, you can apply for a refund of the remaining road tax. The refund is calculated based on the unexpired period of the tax already paid.

Relocation to Another State

If you move to a different state and register your vehicle there, the road tax in Delhi will be adjusted or refunded. In such cases, you must submit registration proof in the new state and relevant documentation to the Delhi RTO. You can claim the refund or transfer the tax.

Duplicate or Excess Tax Payment

If you have accidentally paid the road tax more than once, you can claim a refund for the extra amount. It is important to submit payment receipts and other required documents to the RTO to start the refund process.

Sale of Vehicle

If you sell your vehicle during the tax period, you can also get a refund of the unutilised portion of the road tax. The refund is calculated based on the remaining validity period of the tax.

Procedure for Applying for a Road Tax Refund/Transfer

You can only complete the refund process offline. Follow these steps to complete the application process for the refund:

  • Step 1: Check and visit the nearest RTO where your vehicle is currently registered.
  • Step 2: Fill out the refund or transfer forms and submit them along with all documents. These include the RC copy, original road tax receipt, scrapping document, relocation proof or proof of sale.
  • Step 3: The RTO will verify your application and documents. Once approved, the refund will be issued or the road tax will be transferred.

List of RTO Fines in Delhi

Also Read: Driving Licence Fees in Delhi: Types, Process, and Benefits

Key Takeaways

Every individual, regardless of their vehicle category, is legally obliged to pay the Delhi road tax and the car registration fees, as stipulated by the 1962 Delhi Motor Vehicle Taxation Act.

All vehicle owners in Delhi are responsible for paying the road tax, which is assessed and collected by the Delhi RTO. The Delhi government collects road tax from vehicle owners and these funds are primarily used for building new roads and maintaining the existing road network. Paying your road tax on time is essential to avoid penalties and ensure compliance with the law.

Another mandatory requirement for every car owner is to have a valid car insurance policy. Driving without a valid motor insurance can attract a fine of ₹2,000. If your vehicle is not yet insured, you can get comprehensive motor insurance plans from TATA AIG for complete coverage and protection.

You can buy car insurance plans designed to meet your specific needs. Our comprehensive car insurance policies provide coverage against various risks, including theft, accidents, natural disasters, and third-party liabilities.

For added convenience, you can purchase a new car insurance policy, complete an expired car insurance renewal, and file a claim directly from our website in a few simple steps.

Disclaimer / TnC

Your policy is subjected to terms and conditions & inclusions and exclusions mentioned in your policy wording. Please go through the documents carefully.

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Frequently Asked Questions

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Violation Applicable Law 1st Offence Fine (₹) Subsequent Offence Fine (₹)
Passengers riding on the vehicle’s running board 123(2)/177 MVA 500 1,500
Driving with an extra passenger in the driver’s seat 125/177 MVA 500 1,500
Three riders on a two-wheeler 194C MVA 1,000 1,000
Driving in NMV (Non-Motorised Vehicle) lanes 115/194(1) MVA 20,000 20,000
Failing to give way to emergency vehicles 194E MVA 10,000 10,000
Not following lawful instructions after an accident or property damage 132/179 MVA 2,000 2,000
Driving without a valid permit 66.1/192(A) MVA 10,000 10,000
Not maintaining or carrying the vehicle logbook CMVR 85(10)/177 MVA 500 1,500
Smoking inside the vehicle DMVR 86.1(5)/177 MVA 500 1,500
Using a high-pressure horn unnecessarily 39/192 MVA 5,000 10,000
Honking in a no-horn/silence zone 194F MVA 1,000 2,000
Using colored lights illegally on the vehicle DMVR 97(2)/177 MVA 500 1,500
Emitting excessive smoke DMVR 99(1)(a)/177 MVA 500 1,500
Using tinted glass beyond legal limits CMVR 100.2/177 MVA 500 1,500
Driving without windshield wipers CMVR 101/177 MVA 500 1,500
Playing loud music inside the vehicle DMVR 102/177 MVA 500 1,500
Driving without lights after sunset CMVR 105/177 MVA 500 1,500
Unauthorised use of sirens DMVR 107/177 MVA 500 1,500
Crossing the stop line 113(1)/177 DMVR 500 1,500
Violating mandatory traffic signs (e.g., One Way, No Right Turn) 119/177 MVA 500 1,500
Driving without a functional horn CMVR 119.1/177 MVA 500 1,500
Not using indicators while making turns 120/177 MVA 500 1,500
Improper or obstructive parking 122/177 MVA 500 1,500
The driver is riding on the running board 123(1)/177 MVA 500 1,500
Carrying an oversized or protruding load 194(1A) MVA 20,000 20,000
Operating a vehicle without a valid fitness certificate 56/192 MVA 5,000 10,000
Using high beam incorrectly 112(4)(C)/177 MVA 500 1,500
The rearview mirror turned inward 125(2)/177 MVA 500 1,500
Helmet strap not fastened 194D MVA 1,000 1,000
Using a non-standard/defective helmet 194D MVA 1,000 1,000
Not wearing a seatbelt 194B MVA 1,000 1,000
Conductor operating without a valid license 129/182 MVA 10,000 10,000
Riding without a helmet (rider or pillion) 194D MVA 1,000 1,000
Carrying goods on a passenger vehicle DMVR 84(4)/177 MVA 500 1,500
Vehicle running without a valid RUPD certificate CMVR 124.1/190.2 MVA 10,000 10,000
Vehicle running without a valid LUPD certificate CMVR 124.1/190.2 MVA 10,000 10,000
Driving without a valid insurance 146/196 MVA 2000 4000
Crossing a yellow line illegally 119/177 MVA 500 1,500
Driver or conductor smoking while on duty DMVR 11.2/177 MVA 500 1,500
Driving without a valid license 3/181 MVA 5,000 5,000
Over-speeding in a Light Motor Vehicle 112.1/183(1) MVA 2,000 2,000