Purchasing a vehicle is the dream of many Indians, with an upgrade constantly on our minds. While most companies provide the ex-showroom price of a vehicle, the ultimate cost of owning and registering it is higher, on account of road tax imposed by different states. The road tax in Bihar (Capital City: Patna) is governed by the Transport department, with Regional transport offices across the state registering new vehicles. With the number of vehicles on the road increasing every day, road tax becomes an important revenue source for a government to improve the roads in their state.
Calculating the Road Tax in Bihar:
The road tax in Bihar is computed by taking a number of factors into account, with the important ones being the weight of a vehicle, its age, purpose (personal use or commercial use), seating capacity, engine size, length and width, fuel type, etc. The make, manufacturer and place of manufacture are also taken into consideration, with incentives given to smaller, non-polluting vehicles. Imported vehicles have a different tax slab, with customs duty added to the value of a vehicle while calculating tax.
Tax on 2 Wheelers:
The road tax for 2 wheelers in Bihar is computed after taking the original cost of the vehicle into account. The current road tax stands at 7% of the vehicle cost, at the time of registration. For example, a bike costing Rs 50,000 (ex-showroom) would have a road tax equivalent to Rs 3,500/-.
Note: This is a onetime tax, excluding VAT. VAT would have to be paid over and above this amount.
Tax on 4 Wheelers:
Just like 2 wheelers, the road tax on 4 wheelers in Bihar is computed by taking the original cost of the vehicle into consideration. The current road tax stands at 7% of the vehicle cost. For example, a car with an ex-showroom price of Rs 4 lakh will attract a road tax equivalent to Rs 28,000/-.
Note: This onetime tax does not include VAT which will have to be paid additionally.
How to pay Tax in Bihar?
Individuals who wish to pay road tax on their personal vehicles can do so by approaching the RTO under whose jurisdiction they fall. They can pay the tax by filling in an application and taking an acknowledgement for the same. The government has recently launched an online portal to pay road tax, but this facility is currently available only for commercial vehicles. Vehicle owners with a State Bank of India account can log onto the official website of the Bihar Transport department to complete the payment. This service has been implemented in 5 districts as of now.
Road Tax Exemptions in Bihar
Women who register a vehicle (3 or 4 wheeler) as a commercial vehicle are exempted from road tax, provided they have a valid driving license.
Note: The taxes mentioned above are for private vehicles only. There is a different tax slab for commercial vehicles.