In Andhra Pradesh (AP), road tax is a mandatory one-time (or periodic for commercial vehicles) payment collected at the time of vehicle registration under the AP Motor Vehicles Taxation Act. The tax amount depends on the type of vehicle, its age, and cost (ex-showroom price), helping fund road development and maintenance across the state.
Two-Wheelers (Private Vehicles)
(One-time life tax as % of vehicle cost)
| Age of Vehicle |
Road Tax % |
| New Vehicle |
9% |
| Up to 2 years |
8% |
| 2–3 years |
7% |
| 3–4 years |
6% |
| 4–5 years |
5% |
| 5–6 years |
4% |
| 6–7 years |
3.5% |
| 7–8 years |
3% |
| 8–9 years |
2.5% |
| 9–10 years |
2% |
| 10–11 years |
1.5% |
| Over 11 years |
1% |
Four-Wheelers (Private Vehicles)
(Lifetime tax % of vehicle cost; different slabs depending on cost)
| Age of Vehicle |
Under ₹10 Lakh |
Above ₹10 Lakh |
| New Vehicle |
12% |
14% |
| Up to 2 years |
11% |
13% |
| 2–3 years |
10.5% |
12.5% |
| 3–4 years |
10% |
12% |
| 4–5 years |
9.5% |
11.5% |
| 5–6 years |
9% |
11% |
| 6–7 years |
8.5% |
10.5% |
| 7–8 years |
8% |
10% |
| 8–9 years |
7.5% |
9.5% |
| 9–10 years |
7% |
9% |
| 10–11 years |
6.5% |
8.5% |
| 11–12 years |
6% |
8% |
| Over 12 years |
5.5% |
7.5% |
Commercial Vehicles (Annual / Periodic Tax)
In AP, commercial vehicles (e.g., goods carriers, buses, taxis) pay road tax periodically rather than as a one-time life tax. The amount is generally based on vehicle type, gross vehicle weight (GVW), seating capacity, age, and cost. Typical patterns seen in official summaries include:
Light Commercial Vehicles (LMV): ~12–14% for newer vehicles, reducing with age
Medium Commercial Vehicles (MCV): ~14–16% for newer vehicles, reducing with age
Heavy Commercial Vehicles (HCV): ~16–18% for newer vehicles, reducing with age
Electric Vehicles (EVs)
Electric vehicles often receive concessions or exemptions depending on government policy (e.g., partial or full tax relief for initial years), as part of Andhra Pradesh’s incentives for EV adoption.
How Road Tax is Calculated in AP
Vehicle cost (ex-showroom price) is the primary base for tax computation.
Age of the vehicle reduces tax percentage for older vehicles.
Purpose of use (private vs commercial) affects whether tax is one-time or periodic.
Fuel type and engine capacity may also influence applicable slabs.
Source – https://www.aptransport.org/html/taxes-life-time-tax.html
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