Assam: Timeframe extended for scrapping vehicles by paying 25% of taxes

Staff Reporter

GUWAHATI: Owners of end-of-life vehicles (ELVs), or vehicles unfit for road use, have received a renewed relief. In consideration of vehicle owners’ convenience, the timeframe for the one-time settlement process under the Assam Motor Vehicle Scrapping Policy 2022 has been extended by another year.

Through a notification issued recently, the Assam Government’s Transport Department has prolonged the deadline for availing this settlement scheme. Accordingly, vehicle owners can deregister their unfit vehicles by paying only 25 25per cent of all pending taxes and penalties by March 31, 2026. This means voluntary applicants will receive a 75 per cent waiver on total dues, including penalties.Under the Motor Vehicles Act, it is mandatory for owners of vehicles that have exceeded their lifespan or become unfit for use to deregister them at the District Transport Office (DTO). Failure to do so keeps the vehicle marked as “active” in the government’s Vahan Portal, leading to accumulating taxes and late penalties.  Over time, unpaid dues and penalties can become unmanageable. Additionally, timely tax payment and proper documentation are critical for road safety. If an unregistered vehicle is involved in an accident, the owner may be denied compensation from the government or insurance providers.

To promote safe travel and transform Assam into a pollution-free state, vehicle owners are urged to promptly apply for deregistration of unfit vehicles. Under the current scheme, paying just 25% of dues will suffice for deregistration.

Owners can then submit their deregistration certificate to a Registered Vehicle Scrappage Facility (RVSF) to scrap the vehicle and receive a certificate of deposit. This certificate entitles them to a 25% tax rebate for 15 years on new personal vehicles or a 15% rebate for 8 years on commercial vehicles.

Scrapping old vehicles will also free up public spaces cluttered with abandoned, environmentally hazardous ELVs. The policy aims to phase out polluting vehicles, restore ecological balance, and build a cleaner Assam. Gautam Das, a senior Transport Department official, emphasised the importance of clearing roads and public spaces of derelict vehicles. He urged vehicle owners to act swiftly noting that the scheme’s earlier deadline (March 31, 2025) has now been pushed to March 31, 2026, for broader public benefit.

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