Green Tax Hiked in Maharashtra: Govt Doubles Charges on Older Vehicles to Combat Rising Air Pollution Under New Law

Mumbai, April 10: In a serious bid to curb rising air pollution levels across the state, the Maharashtra government has implemented a crucial amendment to the Motor Vehicle Tax Act. Under the Maharashtra Motor Vehicle Tax (Amendment) Bill 2026, passed during the Assembly session, the Environment (Green) Tax levied on older vehicles has seen a substantial increase. According to the new rates, the tax on old and polluting vehicles has nearly doubled, a move expected to significantly impact the pockets of vehicle owners.

The state government has officially announced the revised tax structure following an amendment to the Motor Vehicle Tax Act passed in the state legislature during the budget session. After receiving the Governor's assent, the revised Act has been published in the official gazette. Under these new provisions, tax will be levied every 5 years once a vehicle completes 15 years from its initial registration. The tax amount will be determined based on the vehicle type and its emission standards. While this change is expected to impose a financial burden on owners of older vehicles, officials claim it will encourage a shift towards eco-friendly and newer models. Maharashtra Vehicle Tax Hike: CNG Cars, High-End Vehicles To Become More Expensive As Govt Raises Cap for One-Time Tax to INR 30 Lakh.

A senior official from the Transport Department stated that these reforms address the state's deteriorating air quality and will be implemented shortly. The new tax charges are based on the fuel rule and BS (Bharat Stage) compliance. For Two-Wheelers, BS-VI or above standards: Rs 2,000, BS-IV or below standards: Rs 4,000. For Petrol Four-Wheelers, BS-VI or above: Rs 3,000, BS-IV or below: Rs 6,000. For Diesel Vehicles, BS-VI or above: Rs 3,500, BS-IV or below: Rs 7,000. Good News for EV Buyers in Maharashtra, Govt To Offer INR 2 Lakh Subsidy, Exemption From Motor Vehicle Tax and Road Toll Under New EV Policy 2025; All Details Here.

Under the 'Maharashtra Electric Vehicle Policy 2025,' the state government has introduced a new mandate for infrastructure. It will now be compulsory for future residential and commercial housing societies to provide electric vehicle (EV) charging facilities for residents and occupants. Recognising the rise in respiratory illnesses and health issues caused by petrol and diesel emissions, the state government is actively promoting the production and use of electric vehicles to conserve the environment. As a major incentive, the government has announced a total toll waiver for electric vehicles at all toll booths across the state, including the Atal Setu.

(The above story first appeared on LatestLY on Apr 10, 2026 07:24 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).