The Government of Telangana has decided to levy a road safety cess on new vehicles purchased from March 1, in a move aimed at strengthening traffic safety infrastructure across the State.According to orders issued by the Transport Department, a cess ranging between ₹2,000 and ₹10,000 will be collected at the time of vehicle registration. The levy will apply to cars, passenger autos and other non-transport vehicles, with the exact amount varying based on the category and cost of the vehicle.
Officials clarified that the cess will be applicable only to fresh vehicle purchases made on or after March 1. Existing vehicle owners will not be affected by the new levy.The State government estimates that the measure could generate around ₹270 crore annually. The funds raised are expected to be channelled towards improving traffic management systems, upgrading road safety infrastructure, and conducting awareness programmes to reduce accidents.
With vehicle registrations steadily rising in Telangana, authorities believe the dedicated cess will provide a stable revenue stream to address growing road safety challenges, including congestion, enforcement gaps and accident prevention measures.Transport officials indicated that further operational guidelines on utilisation of funds and category-wise cess slabs will be detailed in subsequent notifications.
New vehicles in Telangana to attract ₹2,000–₹10,000 cess
