The Maharashtra government has decided not to impose a 6% tax on electric vehicles (EVs) that cost more than ₹30 lakh.
Chief Minister Devendra Fadnavis announced this decision in the state’s legislative council. He explained that the tax would not bring in enough revenue and could hurt the government’s efforts to promote EVs.
This decision came after Shiv Sena (UBT) leader Anil Parab raised concerns that the tax would go against the state’s goal of encouraging clean transportation. Fadnavis agreed, saying, “It could send the wrong message about our commitment to electric mobility.”
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Maharashtra’s EV Growth
The state government had initially proposed this tax in the 2025-26 Budget, with Finance Minister Ajit Pawar estimating it would bring in ₹170 crore per year. However, the plan has now been scrapped.
Fadnavis also highlighted Maharashtra’s rapid growth in the EV sector. He said the state is becoming India’s EV hub with major EV manufacturing plants coming up in Pune and Chhatrapati Sambhajinagar.
Other key points he mentioned:
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More than 2,500 electric buses are being added to public transport.
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Over 50% of new vehicle registrations in the state are now EVs.
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Maharashtra offers road tax and registration fee exemptions for all EVs.
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The government provides subsidies to individuals and businesses to promote EV adoption.
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This aligns with the central government’s clean mobility push, which includes the ₹10,900 crore PM E-DRIVE scheme to support EV manufacturers and improve charging infrastructure.
