In the recent case, the Orissa High Court grants relief due to overdue of Motor Vehicle (MV) tax on a vehicle due to an inadvertent delay in payment, allowing tax to be paid without penalties. The court also permitted an appeal against the penalties if the payment was made within four weeks and an appeal was filed.
Kalakar Das, the petitioner/assessee, seeks the court’s direction to allow to pay the overdue MV tax for the vehicle(Tipper) without any penalties for not paying the tax from July 1, 2023, to September 30, 2024.
Motor Vehicle (MV) tax is a fee imposed on vehicle owners for the privilege of using their vehicles on public roads. This tax can be annual or periodic and varies depending on factors such as the vehicle’s type, weight, and engine capacity. Penalties for late payment may include fines or increased fees, and failure to pay can lead to legal issues such as suspension of vehicle registration or permits.
The counsel for the petitioner contended that the delay in not paying the tax was due to some inadvertency, therefore,the tax may be accepted and the penalties imposed may be removed.
The Standing Counsel of the Transport Department also contended that similar cases have been resolved by allowing the Petitioner to pay the overdue tax and then appeal the penalties. A single bench of Judge K.R. Mohapatra, disposed of the writ petition stating that if the petitioner pays the overdue MV tax of the vehicle within four weeks and files an appeal, the Appellate Authorities must accept the payment and act according to the law. Additionally, after the tax is paid and any required applications are submitted, the Appellate Authorities should consider issuing a permit and fitness certificate for the vehicle.
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