New Delhi: Motor vehicles in Daman and
Diu would now have to pay only a one-time tax in addition to
an environment cess on vehicles which are more than 15 years
The taxes would come into effect with the approval of
the promulgation of the Daman and Diu Motor Vehicles Act
(amendment) Regulation by the Union Cabinet today.
It provides for levying a cess, namely green tax on
old vehicles of 15 years and above, in addition to tax levied
under the Act at the time of renewal of registration.
The proposed Act also has provision for increasing the
upper limits of the rate of taxation on transport vehicles
keeping in line with the neighbouring states and as a resource
With the promulgation of this Act, an increase in the
revenue collection to the extent of Rs 221 lakh per annum is
expected. This will benefit the public who have personal motor
vehicles as they would pay a one-time vehicle tax.
The amendment would result in reducing the workload in
the offices of the Transport Department of the Union Territory
Administration and mitigating the inconvenience caused by the
annual collection of road tax.
In Daman and Diu, the road tax on both transport and
non-transport vehicles is being levied annually in terms of
the provision of the Goa, Daman and Diu Motor Vehicles Tax