Punjab nods 100 pc exemption on MV tax till Dec 31

Chandigarh (Punjab) [India], December 2 (ANI): The Punjab cabinet on Wednesday approved 100 percent exemption on motor vehicle (MV) tax till December 31, 2020, for all stage carriage, mini, and school buses effective from March 23, 2020, to support private transport operators amid the COVID-19 pandemic.

The cabinet gave post-facto approval to the notification issued in June to exempt these vehicles from MV tax till May 19, 2020, and also okayed notification for further extension from May 20 to December 31, 2020, Punjab Chief Minister's Office (CMO) informed on Wednesday.

A spokesperson of the CMO Punjab said that the cabinet gave ex-post facto approval to the notification dated June 1, 2020, reducing MV Tax of stage carriage buses (ordinary buses) from Rs 2.80 to Rs 2.69 (per Kilometre, per Vehicle, per day). "It further gave ex-post facto approval to another notification dated June 2, 2020, by which MV tax exemption was given to educational institutions, schools, college buses, mini-buses, maxi cab and three-wheelers from March 23, 2020, to May 19, 2020."Moreover, the cabinet has approved an extension of the Amnesty scheme, deferring payment of arrears of taxes, without interest and penalty, to March 31, 2021.

It may be recalled that during a meeting with Chief Minister on October 30, the private bus operators including stage carriage operators, mini-bus and school bus operators had sought extension of the Amnesty Scheme issued on June 1, 2020, as they could not avail benefit due to Covid-19. Under the Amnesty Scheme, the transporters were liable to pay tax on their vehicles from June 1, 2020 to June 30, 2020 without any interest and penalty. (ANI)