one month tax -

Quite often stage carriage operators approach the office for one month tax permission. They may replace the present vehicle with another one during the second month of the quarter.

In such cases what we have to do?

The permission should be granted on or before the first day of the quarter and the tax should be paid on the first day of the quarter.

If the applicant could not replace the existing vehicle before the commencement of the second month of the quarter and if he seeks permission to pay tax for second month also, such request cannot be entertained as it would amount to payment of tax on monthly basis. But in the beginning of the quarter if he seeks permission to pay tax for two months and intends to replace the bus in the third month of the quarter, such request can be entertained.

If he is unable to replace the vehicle during the first day of the second month of the quarter as he has agreed, then he has to pay the balance of tax on the first day of the second month of the quarter.

If he has obtained permission for two months and fails to replace the vehicle on the first day of the third month of the quarter, then he has to pay the tax with appropriate penalty.

If the applicant stops the vehicle and seeks permission then permission to such stoppage can be given.

Refer circular No.19/2002