BH-series owners beware: Maharashtra enforces strict ‘seize on sight’ tax rule over unpaid tax

Maharashtra’s transport department has ordered Regional Transport Offices (RTOs) to seize Bharat (BH) series-registered vehicles if owners fail to pay road tax on time, marking a stricter enforcement drive against tax defaulters.

BH-series tax rules and new directive

Unlike conventional registrations where road tax is typically paid upfront for 15 years, BH-series vehicles—meant for people with transferable jobs—require owners to pay road tax in two-year instalments. This recurring payment structure has led to compliance gaps, prompting the state to tighten checks.

A senior RTO official in Chhatrapati Sambhajinagar (Aurangabad) said the issue was discussed at a state-level transport department meeting held in late July, after which clear instructions were issued to field offices.

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Seizure on sight after grace period

“RTOs have been instructed to immediately seize vehicles belonging to defaulters during inspections by enforcement squads if the outstanding road tax is not paid within the stipulated time,” the official said.

The directive gives owners a seven-day grace period to clear dues. Beyond that, penalties kick in: an interest charge of 2% on the outstanding amount plus a late fee of ₹100 per day, adding up quickly for high-value vehicles.

“A grace period of seven days is allowed for tax payment after the two-year term is over. However, starting from the eighth day, interest at a rate of 2% and a penalty of ₹100 per day are levied on the outstanding tax amount. Concerns were raised over the issue of mounting dues towards some of the defaulter vehicles,” RTO authorities said.

Who can register under BH series?

Under Rule 51B of the Central Motor Vehicles Rules, 1989, the option for vehicle registration under the BH series has been made available to government and semi-government employees, as well as employees of private companies that have offices in four or more states/union territories.

The scheme was introduced to simplify vehicle transfers for professionals who frequently relocate, eliminating the need to re-register vehicles or pay fresh road tax every time they move to a new state.

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Rising BH registrations in Maharashtra

By mid-December 2022, Maharashtra had recorded a total of 13,625 vehicles registered under the BH series, and the total count is believed to have grown significantly higher in subsequent years.

However, the latest official data on the number of such vehicles in the state could not be ascertained by RTO authorities, indicating a potential gap in real-time tracking of BH-series registrations and tax compliance.

What this means for BH vehicle owners

The order effectively puts BH-series owners on notice that routine enforcement checks can now end in vehicle confiscation if tax instalments are overdue. For professionals who frequently relocate, the message is clear: keep BH tax payments current or risk losing the vehicle during roadside or depot inspections.