Road Tax in Chandigarh

Vehicle registration in Chandigarh involves mandatory payment of road tax, a levy contributing to city infrastructure and public transport upkeep. This guide simplifies the tax system, outlining rates, impacting factors, and potential exemptions for informed vehicle registration.

As discussed, the State Governments in India levy road tax on all vehicles in their respective states. This is done because the State Governments are responsible for the maintenance of the existing roads and the construction of new roads within the state. The road tax collected from vehicle owners is then used to maintain the state’s roadway infrastructure.

Here are the steps to pay RTO tax in Chandigarh online:

1. Visit the Parivahan portal at https://parivahan.gov.in/parivahan/.

2. Navigate to the ‘Online Services’ drop-down menu and choose the ‘Vehicle Related Services’ option.

3. Choose ‘Chandigarh’ in the ‘Select State Name’ section.

4. Enter your vehicle registration number, RTO, and click on ‘Proceed’.

5. Click on the ‘Pay Your Tax’ option under the ‘RC Related Services’ drop-down.

6. Complete the Chandigarh road tax payment using the available online payment methods such as debit or credit cards, online banking, etc.

7. Download the road tax payment receipt for future reference.

The calculation of road tax in Chandigarh depends on several factors, including:

1. Vehicle Type:

• Two-wheelers: Generally attract lower rates ranging from 3% to 12% of the ex-showroom price.

• Four-wheelers: Typically have higher rates ranging from 6% to 14% of the ex-showroom price.

2. Purchase Location:

• Vehicles bought in Chandigarh: Subject to standard rates mentioned above.

• Vehicles bought outside Chandigarh: Attract an additional 2% transfer fee on top of the standard rate.

3. Vehicle Category:

• Specific categories like electric vehicles or CNG vehicles: May be eligible for reduced rates or exemptions.

 

Here's a simplified formula for calculating the road tax:

Road Tax = (Ex-showroom Price * Rate) + Transfer Fee (if applicable)

 

Additional Factors:

• Social Security Surcharge: ₹1000 applicable on all vehicles.

• Cow Cess: ₹1000 applicable on all vehicles.

• HP Endorsement Fees: Applicable only if financing the vehicle.

 

Calculating Your Road Tax:

• Online Road Tax Calculators: Several online tools are available, requiring details like vehicle type, cost, and purchase location.

• Chandigarh RTO: Contacting the Regional Transport Office directly provides accurate estimates.

 

Please note:

• This is a general overview.

• Specific rates and exemptions may vary depending on the vehicle category and any applicable government policies.

• Consult the Chandigarh RTO for detailed information and official calculations.

Ex-Showroom Price	Applicable Rate	Road Tax	Additional Transfer Fee (if bought outside Chandigarh)	Total Road Tax
Up to ₹60,000	3%	₹1,800 (max)	₹1,200	Up to ₹3,000
From ₹60,001 to ₹90,000	3%	Up to ₹2,980	₹1,800	Up to ₹4,780
From ₹90,001 to ₹1,25,000	4%	Up to ₹5,280	₹2,400	Up to ₹7,680
From ₹1,25,001 to ₹3,00,000	4%	Up to ₹12,280	₹3,600	Up to ₹15,880

Kindly note: 

• The total road tax is capped at 12% of the ex-showroom price.

• Consider adding Social Security Surcharge (₹1000) and Cow Cess (₹1000) to the final amount.

• If you finance the vehicle, HP Endorsement Fees may apply.

• For accurate calculations and potential exemptions, consult the Chandigarh RTO or use their online tax calculator.

The penalty for non-payment of road tax in Chandigarh typically ranges from ₹1,000 to ₹5,000, depending on the severity and duration of non-compliance.