If you’ve ever stood at an RTO counter wondering why you’re being asked to pay more for your old car, you’ve already met the green tax in real life. As stated by the Road Tax Ministry, it is a tax that will be imposed on all commercial vehicles that are more than 8 years old and non-transport vehicles that are more than 15 years old. The idea of charging this tax was to reduce the rate of pollution produced by these vehicles. The state can vary the tax rate accordingly; for example, it can charge more if the city is polluted. It was a soft launch to preserve the environment from the heavy pollution that older vehicles produce.
As your car gets older, it naturally starts releasing more harmful gases in the air around us. The green tax was introduced to make people more aware of the impact and contribute a small amount towards cleaner air and water. The money collected is used for environmental programs and emission control projects. Many people also refer to it as an environmental or pollution tax.
If you like to know more about the green tax for cars and understand its meaning, then dive deep into this blog and learn about the green tax meaning, how to pay green tax online, and more.
Who Needs to Pay Green Tax and When?
The green tax applies differently based on the type and age of your vehicle:
- Private (non-transport) vehicles: When your car crosses 15 years, you’ll need to pay green tax during re-registration.
- Commercial vehicles: For taxis, trucks, buses, and autos, the tax starts after 8 years, and it’s collected every time you renew the vehicle fitness certificate.
Basically, the older the vehicle, the more the tax, and in more polluted cities, rates are slightly higher. So if your car is due for re-registration, the RTO automatically adds green tax to your renewal fee.
How to Pay Green Tax Online?
Paying green tax online is quite simple now. Most states have linked their RTO systems with the Parivahan portal. Here’s how you can do it:
- Visit the official Parivahan website
- Go to the “Online Services” section and click on “Vehicle Related Services.”
- Choose your state and RTO office.
- Click on “Pay Your Tax.”
- Enter your vehicle registration number and check pending dues.
- Select “Green Tax” if applicable and proceed to payment.
Once paid, you’ll get a digital receipt, which you must keep for your next RC renewal.
If you’re more comfortable offline, you can pay directly at the RTO counter too. Just make sure you’ve cleared your pollution under control (PUC) certificate before you go; otherwise, your payment might not get processed.
Green Tax Rates in Different States
Here’s a simplified breakdown of green tax rates across major states in India. The rates can change slightly, but this table gives you a real-world sense of what people are paying right now.
| State | Vehicle Type | When Payable | Approx. Amount / Rate |
| Delhi (ECC) | Commercial vehicles entering Delhi | Every entry | ₹1,400 for LCVs; ₹2,600 for heavy trucks |
| Maharashtra | Petrol cars older than 8 years | Fitness renewal | ₹3,000 approx. |
| Maharashtra | Diesel cars older than 8 years | Fitness renewal | ₹3,500 approx. |
| Maharashtra | Two-wheelers | Fitness renewal | ₹2,000 approx. |
| Tamil Nadu | Cars above 15 years old | Re-registration | 10% of lifetime road tax |
| Karnataka | Commercial vehicles above 8 years | Fitness renewal | 10% to 25% of road tax |
| Haryana | Diesel commercial vehicles above 8 years | Fitness renewal | ₹2,500 to ₹4,000 approx. |
| Uttar Pradesh | Private cars above 15 years | Re-registration | 10% of road tax |
| Delhi (Private cars) | Above 15 years (petrol), 10 years (diesel)* | Re-registration | Up to ₹5,000 depending on engine size |
*Diesel cars over 10 years old are usually not allowed to run in Delhi-NCR, as per NGT orders.
It is always advised to check your RTO’s latest notifications before going for fitness renewal if you own an old vehicle.
Why Paying It On Time Matters
Most people treat green tax like an extra burden, but it’s not just a fine. It’s part of your vehicle’s fitness certificate renewal. Without it, your RC renewal won’t go through, and technically, your car won’t be road legal.
Paying this fee will keep your car operating lawfully if it is an old vehicle that has been well-maintained. Timely car maintenance and routine pollution inspections are non-negotiable because bad vehicle maintenance could cause you to fail the fitness test entirely.
The green tax also ties in with India’s Vehicle Scrappage Policy. Instead of forcing people to dump their old cars, the government uses this tax as a softer push. It gives owners a choice — either pay the tax and keep maintaining your car properly, or scrap it and earn benefits on your next vehicle purchase. In that sense, the green tax isn’t just a fee; it’s the first step towards cleaner mobility and more responsible ownership.
A workshop like GoMechanic makes that part easy. Whether it’s engine oil replacement, emission control checks, or complete periodic servicing, you can book online, get a pick-up and drop-off, and keep your car roadworthy, especially if you plan to renew it after 15 years.
Check How GoMechanic Car Service Can Transform Your Vehicle Servicing Experience!
Conclusion
At the end of the day, green tax isn’t meant to punish you; it’s meant to remind all of us that our old cars do have a cost beyond fuel and maintenance. Every liter of fuel burned, every extra puff of smoke from an ageing engine adds up to the air we all breathe.
Do not be concerned if your car is getting older. Make sure it passes the fitness test, keep it serviced, and pay your green tax online. Additionally, your car will remain sturdy, legal, and operational for many more years without compromising the quality of the air you breathe if you take care of it with regular GoMechanic repair.
FAQs
1. What is the green tax on cars?
Older cars with higher pollution levels are subject to this tax. The RTO adds this tax upon renewal when your car reaches a specific age in order to finance environmental projects and lower overall emissions.
2. How much green tax for a car in Maharashtra?
It is around ₹3,000 for petrol cars that are over eight years old, ₹3,500 for diesel cars, and ₹2,000 for two-wheelers in Maharashtra. Check your RC before paying, as the exact amount may vary based on the RTO and type of vehicle.
3. What is the concept of green tax?
As stated by the Road Tax Ministry, it is a tax that will be imposed on all commercial vehicles that are more than 8 years old and non-transport vehicles that are more than 15 years old.
4. Who pays green taxes in India?
Anyone who owns an old vehicle falls under it. Commercial vehicles start paying after eight years, while private cars pay it after fifteen. Even two-wheelers and autos can be charged depending on their age and how each state sets its rules.
5. What is the green tax for cars in Delhi?
Delhi’s green tax setup is a bit tougher. Every commercial vehicle entering the city pays an Environment Compensation Charge of ₹1,400 for light commercial ones and ₹2,600 for heavy trucks. Private petrol cars above fifteen years can be charged around ₹5,000 at re-registration, while diesel cars older than ten years aren’t allowed to run in Delhi-NCR at all.
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