Hyderabad, Mar 18 (UNI) The Andhra Pradesh Assembly tonight adopted a Bill to amend the Andhra Pradesh Motor Vehicles Taxation (Amendment) Act, to impose Life Tax on automobiles below Rs 3.50 lakh to 12 per cent from the existing nine per cent.
Piloting the Bill, Transport Minister K Lakshminarayana also provided for taxing the high income group persons at 12 per cent as against nine per cent on second or subsequent non-transport vehicle as in vogue in countries like Singapore, Thailand and Hong Kong.
The Minister said vehicles in use costing Rs 3.50 lakh or less and originally registered in the State were excluded from levying Life Tax.
The Government would get an additional annual income of Rs nine crore from levying Life-time Tax on motor vehicles of less than Rs 3.5 lakh, and Rs 3.2 crore per year on enhancement of Life Tax on vehicles owned by companies, institutions, organisations and societies, the Minister said.
The Bill was adopted by voice vote, even as the main Opposition TDP opposed it stating that it would be a burden to the self-employed and also discourage the growth of tourism sector.
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