Jharkhand to continue one-time recovery scheme for defaulting vehicles

Mail News Service

Ranchi: Ahead of the upcoming budget, the Jharkhand government is set to continue its one-time settlement scheme for vehicle tax defaulters, offering up to 50% discount on dues paid in lump sum. This initiative, which helped the government collect Rs 99 crore in revenue last fiscal year, is expected to boost revenue generation further.

With an estimated requirement of at least 10% more funds than the previous year, the state finance department has intensified efforts to increase revenue collection across various sectors. The Transport Department has been tasked with recovering dues from old vehicles and introducing new measures to enhance self-sufficiency.

A committee led by the Commercial Tax Commissioner has been formed to explore additional revenue streams through regular reviews. Meanwhile, the Mines Department has proposed an increase in cess and the Transport Department is targeting higher tax collection from expensive vehicle purchases. Currently, buyers pay 7-9% tax on vehicle prices, but a possible increase could further enhance revenue.

To curb tax evasion and unauthorized vehicle operations in mining areas, the JIMS portal is being updated to monitor defaulter vehicles. The Transport Department is also witnessing significant revenue growth from fines collected during this financial year.

“This scheme has proven beneficial for both the government and vehicle owners. By extending it, we aim to facilitate tax compliance while increasing state revenue,” said a senior transport official.