[ramki.grandhi]

Just for everyone's clarity, if your car gets damaged because of poor infrastructure(potholes, flooding etc) by government(state or central), you end up paying similar level of taxes again on repairs!

[SithDefender]

Originally Posted by inner_roadster

But still I wondered about the financial load that comes with owning car in India. If you own a car, the government makes sure there shouldn't be any space for you to be exempt from paying taxes.

This post is so accurate that it makes me want to sell my car(s) asap

[Maverick Avi]

Originally Posted by inner_roadster

Just think about what we get back in exchange for all of the taxes and expenses we pay to both the central and state governments.

Just finished filing my ITR yesterday and felt really miserable since I had some tax due even after all TDS and stuff due to interest on my FDs which anyways have a measly 6.5% return. Similarly for interest on saving bank accounts. But at the end of the day what is the solution? Even after seeing all these calculations nothing would change. We would continue to buy cars because we want to. Govt will continue to tax according to their whims and fancies. I would prefer to remain in ignorance unless there is solution that I can be part of.

[saubi2299]

Originally Posted by xway

Dwarka Expressway CAG report claimed cost escalated from 18crore/kms to 251crores/km. That in no way can be justified by any means considering its a 1400% hike.
Though the files and the report both disappeared from media after a short while.

Now we hear X kms of road built in a day. We are breaking records in road network, but in reality the mechanism has changed. Earlier a km or road constructed was the same, now if one km of road is constructed with 4 lanes its considered as 4 kms.

Airport roof collapses that too 4 in a week in July 2024, in which some deaths too were reported made us look bad when we say that we are building the future.

Newly built tolled roads having potholes or water logged in just one season makes one wonder if these were built only for data and reporting that x kms completed today.

I remember paying tolls with small change kept in the car a decade back, and it never pinched the pocket. Gone are these days now toll cost is huge, consider Meerut Expressway is Rs. 168 one way. Sohna road toll is Rs. 125 for a 25 kms stretch, that is an absurd toll of Rs5/km for a single car single journey.

Not to mention Kherki Daula toll which is daylight robbery in Gurugram where the toll fee is Rs. 85 for nothing. I mean why should one pay toll to move in the same city. Lot of promises made for shifting this since years and nothing has been done.

Allow me to give another perspective to these issues you raised.

Dwarka Expressway design was changed, and land costs spiralled up, increasing the cost. Major issue was that despite the astronomical increase, revised approval of the competent authority was not taken. CAG report did not say that change in design was unnecessary or that bills were inflated. My colleagues worked on the report. DM of South West Delhi is on suspension since last year because of accusations that compensation to landowners was increased astronomically. This entire Scheme (Bharat Mala) has been shelved after the CAG report. So, situation is not so grim as action is being taken.

Methodology for calculation of road construction per day might have changed but the total road network calculations have not. So, all it does is sensationalise few tweets by the Ministry, but doesn’t take away from the actual progress in road network expansion.

No idea about the airport roof collapse. I was in Singapore that day, about to board my flight to Delhi, when a colleague from Hungary told me that Delhi Airport collapsed. It was embarrassing and shameful to hear from them, and sorry for those who lost their lives due to someone else.

About the toll charges, it is the same formula since 2008 which is used to calculate toll charges, and inflation is to be blamed.

I live in Gurgaon and my hometown is towards Jaipur and native village in Sohna. So, I am impacted by both the toll plazas you mentioned. Kherki Daula toll plaza is a loot from common man’s perspective, but as discussed with NHAI, there are some clauses regarding non-competing roads which is being abused by the contractor.

Sohna toll is exorbitant due to the formula which says that toll charges will be 5 times for elevated corridors. Since Sohna expressway is completely elevated, toll charges are very high, which hits daily commuter very hard. On paper, this is justified saying that locals get exemption from paying toll, which does not happen in real. I have seen even the heads of all villages located near toll plaza visiting minister’s house and raising this, but for hollow assurances.

Rules for exempting locals need to be simplified. This is the same formulae which makes Dwarka Expressway till cost 400 rupees. Toll policy was made in 2008, which doesn’t appreciate today’s situation and has to differentiate between an expressway and an urban elevated road. I have read in news that there is a new policy for urban road toll is also being prepared.

[ajitmoses]

While cars are important to commute, they are silent wealth killers. Makes it even worse when they are frequently changed and are bought under loan and the biggest problem is under utilisation.

One would argue that India lacks good public transportation and a car is an essential commodity, I would add a rider that it holds true provided a car is utilised well, used for a long period of time (10 years minimum, 15 years ideally) and buy only what is within your affordability.

Most in the late 20s to the early 30s start their careees with loans and by the time they realise it, they have lost a great amount of time to build a retirement corpus.


While we can’t change the taxes, if we are prudent about car ownership, we can get the joy of owning the automobile and also getting the returns from the investment and minimise the losses.

[bijims]

The amount of taxes we have to pay for a car in India is outrageous, it is no wonder manufacturers try their best to reduce costs and bring models specifically tailor-made for India, otherwise how could they price it within a certain range?

[RodRowdyBiker]

I know that this is a forum of mostly car enthusiasts but ...

1. Car infrastructure is ruinously expensive to governments. Road tax is but a small drop in the enormous bill that the government has to bear. This money can be better used in other more

2. The focus on Car infrastructure has made my city(Bengaluru) a night mare. My area of Rajarajeshwari Nagar was one of the best places to live but car infrastructure took away the beautiful and wide wide side walks and tree cover, replaced them with roads for cars. Walking is not even that safe. My city has been taken over by cars. This is extremely bad in the long and sort term.

3. A common complaint I hear is that we need wider roads. But basic analysis shows that there is a diminishing return on widening roads. If a 2 lane road can carry 1000 cars an hour, a 4 lane road can only carry 1500 cars an hour, not 2000. Adding another lane decreases the impact even further. This is indisputable.

4. Also wide roads inside cities are disastrous in so many other ways. It encourages higher speeds which has shown to significantly increase pedestrian fatalities, are louder and pollute a lot more. The ICE to EV transition will not solve this as tyre dust is the worst contributors to this and will get worse with heavier EV cars.

5. Wider roads increase congestion, not decrease it. This has been proven multiple times across geographies. Search "Induced demand".

6. People advocate for "Bicycle and Walking" Infrastructure but bike lanes are also car infrastructure. If we didn't have people in 2 tonne metal boxes speeding through everywhere, we would not have the need to protect the people outside the 2 tonne metal boxes.

For these reasons, I am happy with the high taxes imposed on cars. I want them doubled over the next few years if possible. Then doubled once again. The actual cost of a car should be only be a few percentage points of the total cost to buy it in the first place. The current 50% GST is too little. Something closer to 400-500% is what I would prefer. Yes that means that the current base Creta would cost closer to Rs.60L ex-showroom instead of 13L but that is the level of costs that would maybe, maybe cancel out the externality that it causes.

To the person above complaining about speed cameras and a 40kmph limit, what do you expect? 40kmph is already above the speed it takes to kill a pedestrian. Going downhill is not an excuse to speed, stop doing it. If you don't even have the basic car control to limit your speed don't drive.

It is not just practically but mathematically impossible for everyone in a city to own a car and have the city operate traffic efficiently. There is just not enough space. Cars are not like water where a bigger pipe yields linear increase in flow rate.

PS: I am talking about urban areas (population density > ~8000 people/ sqkm). Rural areas have valid reasons why cars maybe necessary.

[xenon0025]

Originally Posted by RodRowdyBiker

To the person above complaining about speed cameras and a 40kmph limit, what do you expect? 40kmph is already above the speed it takes to kill a pedestrian. Going downhill is not an excuse to speed, stop doing it. If you don't even have the basic car control to limit your speed don't drive.

This is a classic case of taking things out of context. I wish you had read the entire post. Highway and city driving are 2 different things.

[Carlove_83]

Originally Posted by inner_roadster

So when you decide to purchase a new car the process of taxation start.

Attachment 2632974

These rates are not exactly the current rates. Can somebody post the latest rates here?
For example, Diesel creta should have 48% GST as per the table. But it is actually 45% (28+17)

[RodRowdyBiker]

Originally Posted by xenon0025

This is a classic case of taking things out of context. I wish you had read the entire post. Highway and city driving are 2 different things.

Not out of context by any means. Follow speed limits everywhere, uphill, downhill, highway and city. They had to put up a speed camera since people think the speed limit signs are just decorations on the road. Good on them to automatically penalize these folks. Even better if it can pay for itself. Absolutely amazing if it can generate revenue on top of that. I've had enough of people blowing through intersections on highways at 140 kmph.

[rakesh_r]

Originally Posted by xway

Not to mention Kherki Daula toll which is daylight robbery in Gurugram where the toll fee is Rs. 85 for nothing. I mean why should one pay toll to move in the same city. Lot of promises made for shifting this since years and nothing has been done.

One needs to pay 35-40Rs while entering and exiting Mumbai, which has been happening since decades. This is one of the biggest cons and this frustrates me to the core.

[silverado]

Originally Posted by inner_roadster

Just think about what we get back in exchange for all of the taxes and expenses we pay to both the central and state governments.

Well the sad part is if i decide to save money and not buy a car, do i get good public transport service?
In Mumbai BEST is on a downward spiral, Pune public transport service leaves a lot to be desired.

What options does someone have if he/she doesn't want to spend so much on car/bike ownership?

Everyone buying a car is not an enthusiast , majority of people buy cars as a need and if they are given an efficient comfortable cheap public transport, car ownership dynamics will change drastically.

But we all know this will never happen in India, and INDIA is not US to develop car specific infra. Doing this in our cities is a recipe for disaster.

[commonman]

As far as I know, these are the expenses we pay to government as a car owner .

1)CGST on new Vehicle
2)SGST on new
3)Road tax on new Vehicle
4) Cess and registration charges on New Vehicle
5)VAT on Fuel
6) Surcharge on Fuel
7) Cess on Fuel
8) GST on service
9) GST on Repairs
10)Tolls on all NHAI roads
11)Fines for using roads
12)Fines for parking
13) Bribe to police

[mayankk]

Originally Posted by commonman

As far as I know, these are the expenses we pay to government as a car owner .

1)CGST on new Vehicle
2)SGST on new
3)Road tax on new Vehicle
4) Cess and registration charges on New Vehicle

And forcibly pay these again after 10/15 years. Just amazing how juicy car owners are for taxation!

[inner_roadster]

Originally Posted by silverado

Well the sad part is if i decide to save money and not buy a car, do i get good public transport service?
In Mumbai BEST is on a downward spiral, Pune public transport service leaves a lot to be desired.

What options does someone have if he/she doesn't want to spend so much on car/bike ownership?

Yes, we all realize that we don't have many options, which is why the majority of us have already, whether consciously or unconsciously, anticipated the actual price of a car, including the hefty taxes. It's only apparent when you bifurcate the difference between the car's cost and the taxes. It is only then that we realize the machine's cost and the financial burden of possessing it legally. The same is true for fuel costs, which we have come to recognize as normal. We expected or were compelled to assume the cost of fuel, including all of these hefty taxes.