PANJIM: The Transport Department has notified incentives for vehicle owners to scrap vehicles more than 15 years old, on purchase of new vehicles.
On scrapping of old transport vehicles, the vehicle owner will get 15 per cent concession on the Motor Vehicle Tax on purchase of a new vehicle or 50 per cent of the scrap value of transport vehicle as shown on Certificate of Deposit (CD), whichever is lower, as per the notification issued by the Department of Transport.
For non-transport vehicles the concession will be 25 per cent of tax leviable or 50 per cent of the scrap value of motor vehicle other than transport vehicle as shown on the CD, whichever is lower.
The tax exemption will be available up to eight years, in case of transport vehicles, and upto 15 years, in case of motor vehicle other than transport vehicles. However, there shall be no exemption in the motor vehicle tax in case of transport vehicles, after eight years, and, in case of motor vehicle other than transport vehicles, after 15 years, the notification further stated.
The CD is the certificate issued to the vehicle owner, who has submitted the vehicle for scrapping. In a bid to reduce old polluting vehicles on the road, the Ministry of Road Transport and Highways, New Delhi has already directed all the State governments to first scrap government vehicles, which are 15 years old and above by following the due procedure. However, scrapping of old vehicles is optional for the general public. The government is also yet to set up a registered vehicle scrapping facility in the State.