URA Tax Formula:
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The URA (Uniform Road Tax) motor vehicle tax in India is calculated based on the vehicle's price, freight charges, excise duty, and GST. This tax is mandatory for all vehicle purchases and varies based on vehicle type and state regulations.
The calculator uses the following formula:
Where:
Details: The total cost of a vehicle in India includes:
Tips: Enter the vehicle's ex-showroom price, freight charges, and applicable tax rates. Default values are provided for excise duty (12%) and GST (28%), which are standard for most passenger vehicles.
Q1: Is GST the same across all Indian states?
A: Yes, GST is uniform across India, but additional road tax and registration charges vary by state.
Q2: Why is freight included in tax calculation?
A: Freight charges are considered part of the vehicle's cost basis for tax purposes.
Q3: Are electric vehicles taxed differently?
A: Yes, EVs typically have lower GST rates (5%) compared to conventional vehicles (28%).
Q4: Does this include registration charges?
A: No, registration charges are separate and vary by state and vehicle type.
Q5: How often do these tax rates change?
A: Tax rates are revised periodically, typically during annual budget announcements.