Sell your old car for scrap and get freebies from government
Zee Media Bureau
New Delhi: The government wants to retire more than eleven year old vehicles from the road. In order to meet that target, it is mulling over offering incentives to those who wish to sell off their old vehicle and buy a BS-IV compliant one.
In its draft voluntary vehicle modernisation policy, the Transport Ministry has proposed that the vehicle owner selling the old vehicle, will benefit in three ways: From the scrap value of the old vehicle, a separate discount by the automobile manufacturer while buying a new vehicle, and partial excise duty exemption, which may be as much as around 50 percent, subject to approval from the Finance Ministry.
If the plan succeeds nearly 28 million vehicles over 11-year-old or vehicles bought on or before March 31, 2005, will move off roads.
According to Road Transport and Highways Minister Nitin Gadkari, the voluntary vehicle modernisation policy when comes into effect, is expected to boost automobile industry turnover over four-times to Rs 20 lakh crore in the next five years.