Hybrid vehicles: Chandigarh clarifies on tax exemption

Chandigarh, November 28

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The UT Administration has clarified that hybrid vehicles purchased prior to November 24 will continue to be registered in accordance with the ibid notification issued on May 25.

The Administration had notified the Electric Vehicle (EV) Policy in 2022 vide which electric and hybrid vehicles (strong hybrid and plug-in-hybrid) purchased and registered in UT were exempted from motor vehicle tax for the period of five years, vide notification dated May 25, 2023.

Now, the Department of Science and Technology and Renewable Energy has amended the EV Policy (3rd Amendment) vide notification dated November 24. As per the amendment, tax exemption at 50% tax on the strong hybrid cars only costing up to Rs 20 lakh only (ex-showroom price) purchased and registered in the UT is to be given.

Accordingly, the Transport Department has also approved the notification exempting 50% of motor vehicle tax on the strong hybrid cars only costing up to Rs 20 lakh only (ex-showroom price) purchased and registered in the UT.