The recent news of a Ferrari SF90 Stradale being used in Karnataka with a Maharashtra registration plate has raised eyebrows in the city, highlighting the issue of vehicle taxation in the state. The owner, who had been using the car for over 18 months without paying the lifetime tax, has been caught and agreed to pay the tax to avoid a ban on using the vehicle in the state.
How it Happened
The Karnataka government’s transportation department has been tracking the vehicle, which was spotted multiple times in the state. The RTO officers have escalated the matter to the higher department, where it has been directed to seize the car if the owner fails to comply.
Why the Owner Had to Pay
According to the transport rules in Karnataka, any vehicle registered outside the city is allowed to operate only for a year. However, the owner had been using his Ferrari SF90 Stradale with a Maharashtra registration plate for over 18 months, making him eligible to pay the remaining tax to the state government.
- • The taxation on vehicles in Maharashtra is generally lower compared to Karnataka.
- • The government usually takes a flat Rs 20 lakh on such cars in financial capital, while Karnataka charges a double figure on high-end cars.
- • To save money on tax, the owner might have taken the riskier way.
Consequences
If the owner fails to pay the tax, the car will be seized by the authorities. The owner has already agreed to pay the tax, escaping a ban on using his super expensive car in the Karnataka government.
| Consequences | Outcome |
|---|---|
| Seizure of the car | Car will be seized by the authorities if the owner fails to pay the tax. |
| Payment of tax | Owner has already agreed to pay the tax to avoid a ban on using the vehicle. |
Why the Owner Chose to Use the Car in Karnataka
The owner might have chosen to use the car in Karnataka to save money on tax. The taxation on vehicles in Maharashtra is generally lower compared to Karnataka. The government usually takes a flat Rs 20 lakh on such cars in financial capital, while Karnataka charges a double figure on high-end cars.
Why the Owner Had to Pay
The owner had been using his Ferrari SF90 Stradale with a Maharashtra registration plate for over 18 months, making him eligible to pay the remaining tax to the state government.
What the Government is Doing
The government is taking steps to prevent such taxation frauds in the future. The RTO officers have been instructed to track down vehicles registered outside the city and to seize them if the owner fails to pay the tax.
Definition of Lifetime Tax
Lifetime tax is a tax levied on vehicles that are registered outside the city and used for a period of time exceeding one year. The tax is usually paid in installments over a period of time.
Conclusion
The recent news of the Ferrari SF90 Stradale being used in Karnataka with a Maharashtra registration plate has highlighted the issue of vehicle taxation in the state. The owner has agreed to pay the tax to avoid a ban on using the vehicle in the state. The government is taking steps to prevent such taxation frauds in the future.
Key Takeaways
- • Any vehicle registered outside the city is allowed to operate only for a year.
- • The taxation on vehicles in Maharashtra is generally lower compared to Karnataka.
- • The government usually takes a flat Rs 20 lakh on such cars in financial capital, while Karnataka charges a double figure on high-end cars.
- • To save money on tax, the owner might have taken the riskier way.
- • The government is taking steps to prevent such taxation frauds in the future.
“The government is taking steps to prevent such taxation frauds in the future.