Electric vehicles priced above ₹30 lakh will have to pay 6% tax from April in this Indian state. Know more


This move could boost sales of high-end electric vehicles in the remaining days of March 2025, while it could pose a challenge for many buyers who seek to buy a premium electric vehicle after April 2025. This is expected to raise concerns about potential sales declines in the coming months, especially at a time when the demands for high-end electric vehicles have been rising across the country.

Also Read : Upcoming cars in India

On the other hand, the proposed tax on the high-end electric vehicle is expected to boost the state’s treasury. The tax increase will increase the state government’s revenue by 320 crore in the next fiscal year.

Vehicle buyers in Maharashtra to see tax hike from April 2025

While the premium electric vehicles will be slapped with a six per cent tax from next financial year, private four-wheelers powered by CNG and LPG powertrains will also see an additional one per cent tax from April 2025, the Maharashtra state government budget announcement has revealed. The Motor Vehicle Tax in the state is currently levied on the CNG and LPG vehicles, ranges between seven per cent and nine per cent.

With this proposed one per cent hike, he tax will range between eight to 10 per cent for the private four-wheelers with CNG or LPG powertrain. In its budget announcement, the state government has increased the maximum threshold for the Motor Vehicle Tax from 20 lakh to 30 lakh. It is expected that the move will generate over 170 crore revenue to the state.

Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape.

First Published Date: 12 Mar 2025, 08:20 AM IST

Leave a Reply

Your email address will not be published. Required fields are marked *