✓Save 80% on Premium ✓Zero Depreciation & Accessories Cover ✓Lock & Key Replacement Cover| Buy a Car Insurance Now! Check Plans

Road tax is a type of tax payable by vehicle owners to ensure road safety. This taxable sum is used to maintain roads and provide safe and efficient driving conditions. Every owner of a four-wheeler or two-wheeler vehicle has to pay road tax to a Regional Transport Office. The Punjab State Government also utilises the same sum to keep travellers safe while they pass across Punjab's highways. To make it convenient for the residents, this tax can be paid physically across any of Punjab’s 76 RTOs in the state or online through its official website.

How to Pay Road Tax in Punjab Online?

Follow the below steps to make an online payment for your road tax liability:

  • Step 1: Visit the Punjab Transport official website

  • Step 2: Click the ‘Online Motor Vehicle Payment System' option

  • Step 3: Now, enter your ID and password to access this site

  • Step 4: New users of this portal can create an account by selecting the suitable option

  • Step 5: Follow the instructions on your screen to fill in all required information

  • Step 6: Individuals can then select their chosen method of road tax payment, which includes debit cards, online banking, and credit card

  • Step 7: After completing your tax payment, keep the tax receipt for future reference Individuals unfamiliar with the online payment system can clear their tax liabilities by visiting one of the local RTOs.

How is Road Tax Calculated in Punjab?

The RTO tax in Punjab is calculated based on several parameters including:

 

  • Age

  • Cost

  • Purpose of Use

  • Capacity of the engine

 

apply car insurance now

Two-Wheeler Road Tax in Punjab

The below table illustrates the payable tax amount based on the weight and age of a two-wheeler vehicle.

Vehicle Age

Two-wheelers with Unladen Weight of up to 95 kg

Two-wheelers with Unladen Weight of more than 95 kg

Less than three years

₹120

₹400

Between three and six years

₹90

₹300

Between six and nine years

₹60

₹200

Older than nine years

₹30

₹100

Tax Rates for Two-Wheeler Vehicles After Amendment

Following the modification, two-wheeler owners would be required to pay 1.5% of the vehicle's cost in road taxes if the bike or scooter in question has an engine capacity of less than 50cc. If the engine capacity is greater than 50cc, the road tax charge would be 3% of the vehicle's cost. Keep in mind that, in either event, such road taxes must be paid in one lump sum rather than in instalments.

Four-Wheeler Road Tax in Punjab

The tax rate for four-wheeler vehicles is also determined based on when the vehicle was registered. Take a look at what you should be aware of.

Vehicle Age

Up to Four Seats and Five Seats

Up to Six Seats

Less than three years

₹1800 | ₹2100

₹2400

Between three and six years

₹1500 | ₹1650

₹1800

Between six and nine years

₹1200 | ₹1200

₹1200

More than nine years

₹900 | ₹750

₹7500

Individuals are required to service these liabilities quarterly, even though a lump-sum payment is required.

  • Tax Rates for Four-Wheeled Vehicles After Amendment

If your vehicle was registered after the taxation criteria were changed, you would have to pay road taxes depending on its cost rather than its age. In this case, any four-wheeler used for personal purposes would be subject to service taxes of 2% of the vehicle's cost.

Commercial Vehicle Road Tax In Punjab

The border tax levied on automobiles registered in other states crossing through Punjab is classified into the following categories.

Motor vehicle, tractor, or omnibus:

Any vehicle with a seating capacity of up to 10 passengers, excluding the driver, is subject to a fee of ₹200. Three-wheelers are exempt from this system's taxation.

Any Other Type of Motor Vehicles:

All other motorised vehicles going through Punjab will be subject to a charge of ₹1500.

Penalty for Failure to Pay Road Taxes in Punjab

In Punjab, every vehicle owner is required to pay road taxes at the time of registration. Failure to do so can result in heavy penalties ranging from ₹1000 to ₹5000. State officials may also seize your vehicle's crucial documentation in extreme situations. As a result, make sure you clear RTO tax in Punjab as soon as possible.

Who Levies Road Tax and Why Is it State Level?

People owning motor vehicles for commercial and/or private purposes have to pay the road tax. It is imposed and regulated by the following authorities. 

1. Central Government

GST, central sales tax, additional cess depending on the model and type of vehicle, customs duty, central excise are handled by the Central Government of India.

 

2. State Government

Lifetime or annual motor vehicle tax, passenger and goods tax, state vat, and toll tax

The State Government constructs around 80% of the total roads (except national highways). Hence, road tax is imposed at a State-Government level. The amount payable as road tax varies from state to state. This article will explore details related to road tax in Punjab.

Read More

Conclusion

Road tax is a mandatory obligation according to the Motor Vehicles Act, 1988. Evading it would only lead you to pay hefty fines. Similarly, the Motor Vehicles Act has also made motor insurance policies mandatory. Hence, if you want to drive your vehicle legally on Indian roads, you need to buy a third-party liability motor insurance policy at the least. At Bajaj Markets, both basic and comprehensive car/bike insurance policies are available. So, check out the range of motor insurance policies with a seamless application process and quick claim settlement.

FAQs on Punjab Road Tax

In Punjab, whose department is responsible for collecting road taxes?

In lieu of Section 213 of the Motor Vehicles Act of 1988, road tax collection is handled by the state’s transportation department. This department is also in charge of operating driving schools in Punjab and providing fitness certificates.

What payment options do I have when it comes to paying Punjab road tax offline?

If you choose to pay your road taxes at an RTO, you can make the payment through demand drafts or cash.

How is Punjab’s road tax calculated as per the updated amendment?

For two-wheeler vehicles, you are liable to pay 1.5% of the cost of the vehicle. On the other hand, if you’re the owner of a four-wheeler vehicle, your road tax would compute to 2% of your car’s cost. 

How can I pay road tax offline in Punjab?

You can choose to visit the nearest RTO. There, you could be asked to fill out a form, submit important documents, and make a payment through demand draft or cash. 

Will the Punjab RTO allow me to drive a vehicle from another state?

In Punjab, you may legally drive a vehicle from another state for up to 30 days.

Happy Customers of Bajaj Markets

Home
active_tab
Loan Offer
active_tab
Download App
active_tab
Credit Score
active_tab