To address the issue of the cumbersome process involved in transferring and re-registering vehicles across states, the Ministry of Road Transport and Highways has proposed a new system of vehicle registration on a pilot basis. In the new system, allocations would be marked under what they call the “IN” series. At present, India’s registration series is based on states — like DL, MH, HR, GJ, TN, WB, OD.
A motor vehicle tax will be levied for two years or in multiples of two instead of 15 years upfront tax. The move will also lower the cost of such vehicles.
However, it is unclear if, like commercial vehicles, getting re-registered every two years would also require vehicles to be tested for fitness.
The release said this scheme would facilitate free movement of personal vehicles across any state upon relocation to a new state. Vehicle registration facility under “IN series” will be available to defence personnel, employees of the union government, state governments, union and state PSUs and private sector companies or organisations, which have offices in five or more states or union territories.
Notified as a part of draft rules, the Ministry press note said this will make it much easier for those shifting from one state to another to re-register their vehicles. The step comes in the context of several citizen-centric steps and an IT-based solution for vehicle registration taken by the government, it said.
However, one of the main points in the vehicle registration process that still needs attention is re-registration of a vehicle while moving to another state.
Station relocation occurs with both government and private sector employees, said a release, adding such movements create a sense of unease in the minds of employees with regard to the transfer of registration from the original state of registration to another state.
The Motor Vehicles Act, 1988, prescribes that while a person is allowed to keep the vehicle for 12 months in any state other than the state where the vehicle is originally registered, new registration with the new state-registering authority has to be made within 12 months.
A passenger vehicle user has to take these steps to re-register a vehicle —
- A no-objection certificate from the parent state for assignment of new registration mark in another state
- assignment of new registration mark after the road tax on a pro-rata basis is paid in the new state
- application for refund of the road tax in the parent State on a pro-rata basis
In fact, provision to get a refund from the parent state on a pro-rata basis is a very cumbersome process, which varies from one state to another, said the release.