Buying an EV in Karnataka? New tax laws could make your electric car costlier
Indian Express·2h ago·Neutral
What Happened
Karnataka's government notified a new law on April 10 imposing lifetime taxes on all electric four-wheelers, ending previous exemptions for cheaper models. The tiered tax system ranges from 5% for vehicles under Rs 10 lakh to 10% for those over Rs 25 lakh. The state expects Rs 250 crore revenue in 2026-27. Karnataka ranks second nationally in EV sales with 60,800 units sold over five years.
Key Entities
Karnataka governmentKarnataka Motor Vehicles Taxation (Amendment) Act 2026Electric vehiclesRamalinga ReddyRs 250 croreMaharashtraVahan dashboard