The All India Motor Transport Congress and various cab operators have warned of a strike if the hike in motor vehicle tax announced in the State Budget 2012-13, is not withdrawn.
Cab owners will have to shell out a few lakhs more because of the lifetime tax imposed on maxi cabs priced above Rs10 lakh. Motor and cab operators met the transport commissioner on Thursday to plead for a rollback of the tax.
The life time tax per cab will be 15 per cent of the cab cost and will be applicable to cabs which cost more than Rs10 lakh. “Cab operators who are keen on purchasing the latest version of high end vehicles will be discouraged because of this. In states like Kerala and Andhra Pradesh, the life time tax on a vehicle is not more than 5 per cent of the price,” said general secretary of Bangalore Tourist Taxi Association (BTTOA), K. Radhakrsihna Holla.