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RTO plans drive against 'elite tax evaders'

Vehicles may be seized till owners pay the tax
Last Updated : 23 August 2011, 17:27 IST
Last Updated : 23 August 2011, 17:27 IST

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 While an onlooker will be compelled to think if all the riches hail from Pondicherry or Kerala, the fact is that these are the elite road tax evaders from our own district who think they have played it smart while registering their vehicle and saved huge money going to government exchequers.

For the owners of all those plush cars and SUVs in town bearing registration number from other states, there is news which will not go down their throats so easily.

Road Transport Office, Mangalore division in a move to nab these ‘elite tax evaders,’ is all set to implement its plan of action. To begin with, the RTO will soon issue a public statement demanding the owners of the vehicles with outside registration to come to the RTO and register the vehicles here within one month’s time. After this stipulated time span, the RTO will start acting stern on those who fail to register, by imposing penalty.

According to the rules, the RTO can impose about Rs 1,500 as penalty but as RTO Mallikarjuna C informed: “It is too meager an amount for people who can afford to buy expensive vehicles. I have decided to use my suo moto powers and seize the vehicles and the vehicle will be in the custody of RTO till the owners pay the tax payable to the government.”

It has been a trend among the elite to get the expensive cars from places like Pondicherry, Kerala where the road tax and cess payable to government is lesser when compared to Karnataka. The buyers mend and make all possible clever moves to evade the taxes. In DK district itself, there are visible numbers of high end vehicles moving regularly on the road bearing registration number of Kerala (KL) or Pondicherry (PY).

Mallikarjuna C informed that due to this kind of practice, the RTO which used to collect revenue of about Rs 32 to Rs 40 crore has seen a dip by Rs four to five crore.

A source in the RTO said that the showroom personnel, themselves play a huge role in such activities. “When a buyer goes to purchase a car in the showrooms of the elite vehicles, the showroom personnel make arrangements to get vehicles from other states, luring the buyer of saving huge amount.”RTO said that inspectors will be sent to the showrooms of various expensive vehicles to inspect the registers of the vehicles sold.The RTO informed that he will start the drive to curb this blatant violation in a month or two.

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Published 23 August 2011, 17:27 IST

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