The Maharashtra government has introduced a 15% tax discount for people who scrap their old vehicles and buy a new one of the same type. According to the Chief Minister’s Office (CMO), transport vehicles scrapped within eight years and non-transport vehicles scrapped within 15 years at a Registered Vehicle Scrappage Facility (RVSF) will get a 10% tax benefit.
For vehicles under lump sum tax, a 15% discount will apply. Those paying annual tax will get a 15% rebate for eight years (transport) and 15 years (non-transport) from the registration date.
After scrapping a vehicle at an RVSF, the owner will receive a Certificate of Deposit, valid for two years, to claim the tax discount. The benefit is available only if a similar vehicle (two-wheeler, three-wheeler, or light motor vehicle) is bought within three years of the policy announcement.