Lifetime road tax in Andhra Pradesh

Last week Hyundai sales person called me up and told me that the life time road tax in AP will be hiked to 15% (from 9%). Is that true? I googled a lot but could not find any relevant info.

Also, during december time, car manufacturers give discounts to the tune of 30-40K. Is this discount on ex-showroom price or On road price ?

Cash Discount is on ex-showroom price.  Discounts like concessional/free insurance &  accessories etc. are a part of cost price beyond ex-showroom price.  Anyway, what matters is the amount of discount.

AP road tax is currently 9%. I too couldn't find any info on the likely increase in the tax stated to you.

Road tax is 6% in Kerala

In TN it’s recently increased to 8% (before it was 6%)

The lifetime road tax in Karnataka is obscenely high (11%, 15.4%, etc. depending on the ex-showroom price of the car).

I think we in Bangalore are paying one of the highest taxes in the country. If AP goes to 15% then it will beat Karnataka !

I dont think road tax has been increased, double tax in respect of second or more vehicle on your name.

http://www.aptransport.org/html/tax_life_personal-vehicel.htm

Ok. So it may be possible that the dealer is trying some tactics to sell me the car in November.

As you mentioned, the cash discount is on ex-showroom price. This would mean that all the other related costs (like road tax, insurance etc etc) will now be calculated on the reduced ex-showroom price. Am i correct?

Finally, any idea how much could the cash discount be in the month of Dec?

Road-tax & Insurance will be determined based on ex-showroom price (without discount).  For discount, check locally - it's best during Diwali & December.

Yes, it seems the dealer is trying a tactic to promote quick sale.  I suggest if you can ascertain about the likely rise in tax, if any, from RTO Office or agent locally.

Well, for the news of road tax increase in AP, its true. From Jan 2010 the tax for first vehicle would be 12% and for subsequent would be 15%. Its a straight 3% increase wrt to current rates.

I did not get any information directly on sites to confirm,  but asked few RTO Agents and they said that its going to increase.

Please elaborate a little.

This is to discourage individual owning two vehicles. First vehicle in his name will attract 12% tax while next vehicle would be 15%.

Request to Anshu Jha to confirm.

Yes Sujit. The first car/bike registered on your name in same RTO would cost you 12% which is currently 9% and any subsequent car/bike on your name in same RTO would cost you 15% which is currently 12%.