LUCKNOW, Feb. 1 -- The Uttar Pradesh government has formally enforced the provisions of the Uttar Pradesh Motor Vehicles Taxation (Amendment) Act, 2025, revising the structure and rates of motor vehicle tax across multiple categories, including taxis, commercial vehicles, goods carriers and special purpose vehicles. The revised tax regime came into force with the publication of a notification on January 30. Under the new framework, the state has overhauled the one-time tax (OTT) applicable to transport vehicles, replacing the earlier notification issued in October 2009. The revised rates are linked to vehicle cost, type and gross vehicle weight (GVW), and aim to standardise taxation across categories while tightening compliance. According to the notification, two-wheelers used for commercial purposes, such as ride-hailing and delivery services, will attract a one-time tax of 12.5% of the vehicle's cost. Three-wheeler motor cabs will be taxed at 7%.Cabs priced up to Rs.10 lakh will attract a tax of 10.5%, which will rise to 12.5% for vehicles costing more than Rs.10 lakh. The government has provided relief to owners of already registered vehicles by allowing an 8% reduction in tax liability for each completed year of prior registration, subject to a maximum rebate of 75%. Periods of less than one year will not be counted for this concession.However, non-transport vehicles converted into transport vehicles, such as private cars later registered as taxis, will now have to pay an additional 2.5% of the vehicle's cost if one-time tax had already been paid earlier.The notification also revises tax rates for goods vehicles and special purpose vehicles. Construction equipment and special purpose vehicles will attract a tax of 6% of the vehicle cost. Goods carriers with a GVW of up to 3,000 kg will be taxed at 3%, rising to 6% for vehicles with a GVW between 3,000 kg and 7,500 kg. To discourage misuse, a penalty of Rs.2,200 per passenger has been imposed on goods vehicles found illegally carrying passengers, in addition to the applicable vehicle tax. Goods vehicles exceeding the 7.5-tonne GVW threshold will now be taxed at Rs.242 per metric tonne per quarter and Rs.893 per metric tonne annually. Public service vehicles operated by the state transport undertaking will attract a levy of Rs.58 per seat per quarter and Rs.230 per seat annually, excluding the driver's seat. Commercial tractors, driving school vehicles and out-of-state goods vehicles authorised to operate in UP will also be taxed under revised slabs. The notification further states that AC public service vehicles will attract 50% higher per-seat tax....