Road Tax Refund

When a vehicle is sold or re-registered in another state, owners can apply for a road tax refund online. RTO provides a facility to claim tax refund. The blog will cover how to apply for a road tax refund in detail.

RTO tax refund

If you have transferred your vehicle to new state, you can claim a road tax refund from the previous state’s RTO. Road tax is a tax that you pay to the state government for using public roads. It is usually paid as a lifetime tax.

Many people usually move from one state to another without getting the road tax refund from the old RTO. It mainly happens due to a complex refund process.

You can claim the paid lifetime road tax refund only after paying lifetime tax and registering the vehicle with the new state’s RTO office. The state entry tax also needs to be paid in addition to the lifetime tax. You have to apply for a refund at the previous state’s RTO.

Steps for Road tax refund

Following are the steps to get Road tax refund:

• Register your vehicle with a new RTO
• Pay your road tax in new state’s RTO
• Submit the new RC copy, the old RC copy and the required documents to the old RTO
• RTO processes refunds of road taxes

Documents required for tax refund

Following are the documents required to claim road tax refund:

• Road tax refund application form
• NOC of state transfer (photocopy)
• Copy of new insurance and PUC
• Receipt of new road tax paid
• Receipt of previously paid road tax in the old state
• Proof of address ( for evidence of migration along with ID proof)
• Bank account details

Parivahan Tax Payment

RC transfer fees for vehicle in India

NOC certificate online download

FAQs

Is lifetime road tax fully refundable?

No. Only the remaining unused period of lifetime tax is refundable.

Can I apply for road tax refund online?

In few states, you can apply online for road tax refund. In other states, you have to visit RTO office for refund application.

Can two-wheeler owners claim road tax refund?

Yes. Two-wheelers are also eligible to claim road tax refund on meeting the conditions.

How long does RTO take to process road tax refund?

The average processing time for road tax refund is 30 -90 days, depending on the state.