Proposal to levy 10% tax on e-vehicles dropped

The government withdrew the proposal to levy 10% road tax on electric vehicles costing above Rs 20 lakh. Members of the legislative assembly opposed the move, stating that it would burden buyers and discourage manufacturers. The tax was proposed to compensate for revenue losses due to the repeal of lifetime tax on certain commercial and passenger vehicles. However, the costs of electric vehicles are already high, and levying a tax would defeat the purpose of promoting e-vehicles for environmental concerns. The proposal was withdrawn after discussions with the chief minister and industries minister.