If you’ve been eyeing a high-end electric vehicle (EV) in Maharashtra, now is the time to make your move! Starting next month, luxury EVs will become more expensive as the state government introduces a new tax under its latest Budget.
New Tax on High-End EVs
As per the Maharashtra state Budget announcement, EVs priced above ₹30 lakh will now attract a 6% tax. This move is expected to boost state revenue but will also make premium electric cars significantly costlier for buyers.
More Tax for CNG & LPG Vehicle Owners
The Budget also proposes an additional 1% tax on privately owned CNG and LPG four-wheelers. Currently, motor tax in Maharashtra ranges between 7% to 9%, but the new changes mean more expenses for vehicle owners.
Motor Vehicle Tax Threshold Increased
To accommodate rising vehicle prices, the government has raised the upper limit for Motor Vehicle Tax from ₹20 lakh to ₹30 lakh. This move is expected to generate an additional ₹170 crore in revenue for the state.
Maharashtra’s Ambitious Budget Plans
Maharashtra’s Deputy Chief Minister and Finance Minister, Ajit Pawar, presented the 2025-26 Budget on Monday, emphasizing a vision for “Developed India, Developed Maharashtra.” His rallying call—*”Maharashtra will stop no more… development won’t be delayed anymore”—*reflects the government’s push for accelerated growth.
Key Highlights from the Budget:
✔ Fiscal Discipline: The fiscal deficit is below 3% of the Gross State Domestic Product (GSDP), while the revenue deficit remains under 1% of GSDP.
✔ Mumbai’s Economic Growth Target: The goal is to expand the Mumbai Metropolitan Region’s economy to $300 billion by 2030 and $1.5 trillion by 2047.
✔ New Industrial Policy: Under the “Make in Maharashtra” initiative, the government aims to attract ₹40 lakh crore in investments and generate 50 lakh jobs over the next five years.
Additionally, the government announced the “Maharashtra Tax, Interest, Penalty or Delayed Fee (Public Sector Companies) Debt Settlement Act, 2025,” which will remain in effect until December 31, 2025.
What This Means for You
With EVs, CNG, and LPG vehicles set to become costlier, buyers may want to speed up their purchases before the new tax kicks in. Meanwhile, the state is gearing up for major economic expansion, industrial growth, and infrastructure development in the coming years.
