Bhubaneswar: The cabinet on Saturday decided to reduce the one-time tax on personal vehicles.
It has decided to amend the Odisha Motor Vehicle Taxation (OMVT) Act, 1975 to reduce the tax slabs.
“Car owners will pay 6 per cent one-time tax on vehicles costing up to Rs 5 lakh. Similarly, a one-time tax of 8 per cent will be levied on cars costing Rs 5 lakh to Rs 10 lakh, 10 per cent tax on cars costing above Rs 10 lakh,” said chief secretary AP Padhi.
At present, the government is collecting 6 per cent, 8 per cent, 10 per cent, 12 per cent and 20 per cent on cars of costing up to Rs 5 lakh, Rs 5-10 lakh, Rs 10-20 lakh, Rs 20-40 lakh and above Rs 40 lakh respectively.