Chandigarh Road Tax - Check Tax Rates & Calculation

Vehicle registration in Chandigarh requires the mandatory payment of road tax, which supports city infrastructure and public transport maintenance. This guide simplifies the tax system, detailing rates, influencing factors, and potential exemptions to facilitate informed vehicle registration.

Vehicle registration in Chandigarh requires the mandatory payment of road tax, which supports city infrastructure and public transport maintenance. This guide simplifies the tax system, detailing rates, influencing factors, and potential exemptions to facilitate informed vehicle registration.

In India, State Governments levy road tax on all vehicles within their jurisdictions. This is because the State Governments are responsible for maintaining existing roads and constructing new ones within the state. The road tax collected from vehicle owners is used to maintain and develop the state's roadway infrastructure.

How is Road Tax Calculated in Chandigarh?

The calculation of road tax in Chandigarh is influenced by several factors:

Vehicle Type:

  1. Two-wheelers: Generally, the tax rate ranges from 3% to 12% of the ex-showroom price.
  1. Four-wheelers: Typically, the tax rate ranges from 6% to 14% of the ex-showroom price.

Purchase Location:

  1. Vehicles bought in Chandigarh: They are subjected to standard rates mentioned below.
  1. Vehicles bought outside Chandigarh: They attract an additional 2% transfer fee on top of the standard rate.

Vehicle Category:

  1. Specific categories like electric vehicles or CNG vehicles may be eligible for reduced rates or exemptions.

A simplified formula for calculating the road tax is:

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

Additional Factors:

  1. Social Security Surcharge: Rs. 1,000 applicable on all vehicles.
  1. Cow Cess: Rs. 1,000 applicable on all vehicles.
  1. HP Endorsement Fees: Applicable only if financing the vehicle.

Please Note:

  1. This is a general overview.
  1. Specific rates and exemptions may vary depending on the vehicle category and any applicable government policies.
  1. Consult the Chandigarh RTO for detailed information and official calculations.

Road Tax for Two-wheelers in Chandigarh

The below mentioned prices of the vehicles is excluding VAT and Hypothecation fee.

Cost of the Vehicle

Road Tax Applicable on the Vehicle

Additional Transfer Fee

Up to Rs.60,000

3% is applicable up to Rs.1800

Rs. 1,200

From 60,000 to Rs.90,000

3% is applicable up to Rs. 2980

Rs. 1,800

From Rs.90,000 to Rs.1.25 lakh

4% is applicable up to Rs.5280

Rs. 2,400

From Rs.1.25 lakh up to Rs.3 lakh

4% is applicable up to Rs.12,280

Rs. 3,600

Tax on Four-Wheelers in Chandigarh

Cost of the Vehicle

Road Tax Applicable on the Vehicle

Additional Transfer Fee

Up to Rs. 10,00,000

6% of the cost of the vehicle: up to Rs. 60,000

8% of the cost of the vehicle: up to Rs. 80,000

Rs. 10,00,001 to Rs. 15,00,000

10% of the cost of the vehicle: up to Rs. 1,00,000

12% of the cost of the vehicle: up to Rs. 1,20,000

Rs. 15,00,001 to Rs. 25,00,000

12% of the cost of the vehicle: up to Rs. 1,80,000

14% of the cost of the vehicle: up to Rs. 2,10,000

Above Rs. 25,00,000 

12% of the cost of the vehicle: up to Rs. 3,00,000

14% of the cost of the vehicle: up to Rs. 3,50,000

Tax on Commercial Vehicles in Chandigarh

Category of the Vehicle

Road Tax Applicable on the Vehicle

Additional Transfer Fee

Light & Medium Good Vehicles (LMGV)

Annual Fee based on the tonnage capacity

2% of the standard tax

Heavy Goods Vehicles (HGV)

Annual Fee based on the tonnage capacity

2% of the standard tax

Buses

Up to 12 + 1 seater: up to 6% of the vehicle cost

2% of the standard tax

How to Pay Road Tax Online in Chandigarh

To pay RTO tax online in Chandigarh, follow these steps:

  1. Step 1: Visit the Parivahan portal at https://parivahan.gov.in/parivahan/.
  1. Step 2: Navigate to the 'Online Services' drop-down menu and select 'Vehicle Related Services'.
  1. Step 3: Choose 'Chandigarh' in the 'Select State Name' section.
  1. Step 4: Enter your vehicle registration number and RTO, then click 'Proceed'.
  1. Step 5: Under the 'RC Related Services' drop-down, select 'Pay Your Tax'.
  1. Step 6: Complete the road tax payment using available online payment methods such as debit cards or credit cards, online banking, etc.
  1. Step 7: Download the road tax payment receipt for future reference.

Transfer Tax for Vehicles from Other Indian States to Chandigarh

When transferring a four-wheeler from another state to Chandigarh, the applicable tax rates are:

  1. 6% of the Insured Declared Value (IDV) for four-wheelers costing less than Rs. 20 lakh.
  1. 8% of the Insured Declared Value (IDV) for four-wheelers costing more than Rs. 20 lakh.

For four-wheeler transfers within the Union Territory of Chandigarh, you must pay half of the registration fee. Now that you are aware of the road tax in Chandigarh for vehicles from other states ensure you pay the applicable tax and continue driving your vehicle legally.

Penalty for Non-Payment of Road Taxes in Chandigarh

In Chandigarh, failing to pay road tax incurs a penalty ranging from Rs. 1,000 to Rs. 5,000. In addition to this penalty, you must also settle the outstanding tax amount.

List of RTOs in Chandigarh

Here is a list of Regional Transport Offices (RTOs) in the Union Territory of Chandigarh:

Secretary Transport 8

  1. Address: Union Territory Secretariat Deluxe Building, Sector-9, Chandigarh
  1. Phone: 0172-2740045 (O)

Registering & Licensing Authority

  1. Address: Registering & Licensing Authority, Sector 17, Chandigarh
  1. Phone: 0172-2700341 (O)
  1. Email: rla-chd@nic.in

State Transport Authority 

  1. Address: Office of State Transport Authority, Sector-18-A, (Near Govt. Printing Press) Madhya Marg, Chandigarh
  1. Phone: 0172-2700159 (O)
  1. Email: sta18-chd@nic.in

FAQs on Chandigarh Road Tax

  • How much is the road tax for my vehicle?

    The road tax for your vehicle depends on various factors such as the type of vehicle (two-wheeler, four-wheeler, commercial), purchase location (Chandigarh or outside), and specific details like engine capacity or tonnage. To get an accurate estimate, use the RTO's online calculator or contact the RTO directly.

  • What additional charges are there besides road tax?

    In addition to road tax, all vehicles are subject to a Social Security Surcharge of Rs. 1,000 and a Cow Cess of Rs. 1,000. If the vehicle is financed, HP Endorsement Fees may also apply.

  • Will I save money if I purchase the vehicle in another state?

    Purchasing a vehicle in another state does not save you money on road tax in Chandigarh. Regardless of the purchase location, you must pay a registration fee of 6% of the insured value to operate the vehicle in Chandigarh. Therefore, buying a vehicle in another state does not allow you to avoid taxes.

  • Can I pay my Chandigarh road tax in instalments?

    No, you have to pay the road tax in Chandigarh as a one-time tax during the registration of the vehicle, and it must be paid in full.

  • Which vehicles are exempt from road tax in Chandigarh?

    Chandigarh road tax is not levied on vehicles used only for agricultural purposes. The measure is aimed at easing financial hardship on the state's farmers.

  • Will individuals whose vehicles registered in other states have to pay road tax to ply in Chandigarh?

    Yes, all vehicles operating in Chandigarh are required to pay road tax even if they are registered in other states.

  • Is there a fine for failing to pay road tax in Chandigarh?

    The penalty for failing to pay road tax in Chandigarh ranges between Rs.1,000 and Rs.5,000.

  • Do I need a vehicle fitness certificate to pay road tax in Chandigarh?

    A vehicle fitness certificate is required to register your vehicle, regardless of whether you acquired it in Chandigarh or somewhere else. Because it is important to provide the registration documents while paying the road tax, you will need the vehicle fitness certificate in order to pay the road tax in a hassle-free manner.

  • Can I pay road tax in Chandigarh online?

    Yes, you can pay road tax in Chandigarh online.

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