Educational Ins.Vehicles - Title Important

A particular provision which exempted the schools and colleges from taking out a permit viz. Sec.63(3)(h) was deleted by the Central Govt. vide notification in GSR 35 Dated 14.8.2000.

So it becomes necessary for the educational institutions to obtain a permit for their vehicles .

Accountant General Chennai has raised an objection in many offices to give concessional rate of Rs.100/- or Rs.50/- to educational institutions on the ground that the vehicles are registered in the name of a society or trust and not in the name of an educational institutions. A G objected because many institutions are run in the name of a trust and the vehicles are registered in the name of the trust. If vehicles are registered in the name of trust, the vehicles can be termed as omni bus which attracts the tax of Rs.3000/- per seat and not the tax for educational institutions.

So while giving a permit for a school or a college, or when registering a vehicle for a school , care should be taken that the vehicle stands in the name of Correspondent, Principal,Headmaster etc and not in the name of a society or trust.

Section 2(11)of M V Act specifies an educational institution vehicle as an omnibus owned by a college or school used for the purpose of transporting students and staff.

So an educational institution vehicle should not be in the name of a trust or society though they actually run the institution.

Refer Circular No.12/2002