India, March 27 -- The Maharashtra government has reportedly shelved a proposal to introduce a 6% "vehicle tax" on electric vehicles (EVs) priced above INR 30 Lakh.

As per news agency PTI, Maharashtra chief minister Devendra Fadnavis yesterday informed the local legislative council that the government will not implement the proposed tax. Citing his rationale, Fadnavis said that the move will not generate "enough revenue" and undermine the government's push for EVs.

His comments came while responding to a question from Shiv Sena (UBT) leader Anil Parab during a discussion on EVs and air pollution. Raising his concerns, Parab said that the tax would prove counter-productive and "contradict" the government's broader objective of encouragin...