EV Registration & Road Tax Rules in India: Updated 2025 Guide

The electric vehicle (EV) revolution in India isn’t just about going green—it’s also about cost savings, convenience, and policy support. With every budget and policy cycle, the Indian government, both at central and state levels, is taking steps to make EV ownership smoother and more attractive.

In 2025, some of the most significant changes have occurred in the areas of registration and road tax—two major cost components that affect every vehicle owner. If you’re considering buying an electric car, scooter, or commercial EV, it’s crucial to understand how these updated regulations can help you save money and time.

This guide breaks down everything you need to know about EV registration, road tax exemptions, state-wise rules, and related ownership processes, all updated for 2025.


What’s New in 2025?

The Indian government, under the broader umbrella of the National Electric Mobility Mission Plan (NEMMP) and FAME III policy, has rolled out more friendly regulations for EV buyers. Here are the key highlights:

  • Waiver of Registration Fees for most EVs across India
  • Zero Road Tax in many leading EV-adopting states
  • Simplified Digital Registration and green number plates
  • Fast-Track Registration for Commercial EV Fleets
  • Relaxed Re-registration Norms for used EVs

Understanding Registration Fees for EVs

What Are Registration Fees?

Registration fees are one-time charges levied by the Regional Transport Office (RTO) when a new vehicle is registered in your name. They are mandatory and vary by vehicle type, engine size, and state.

EV Exemption in 2025

As per the latest Ministry of Road Transport and Highways (MoRTH) directives:

  • All EVs are exempted from registration fees, irrespective of whether it’s a two-wheeler, car, or commercial vehicle.
  • This exemption is applicable pan-India, and no state is allowed to charge extra unless specified under a different heading.

Typical Savings

Vehicle TypeEarlier Registration FeePost-2025 (EVs)Savings
Electric Scooter₹300–₹500₹0₹500
Electric Car₹1,500–₹2,500₹0₹2,500
Electric Bus₹5,000–₹10,000₹0₹10,000

Updated Road Tax Rules for EVs in India (2025)

What Is Road Tax?

Road tax is a state-level tax imposed at the time of vehicle registration, typically based on:

  • Vehicle type (2W, 4W, commercial)
  • Powertrain (Petrol, Diesel, Electric)
  • Vehicle cost (Ex-showroom price)
  • Lifetime or annual structure

Road tax can range from 4% to 18% for traditional vehicles, making it a significant component of the on-road price.

EV Exemption in 2025: State-Wise Overview

Many Indian states now offer complete or partial waivers on road tax for EVs. Here’s a quick breakdown:

StateRoad Tax for EVs (2025)Policy Details
Delhi0%Full waiver since 2020
Maharashtra0%100% waiver under new EV policy
Gujarat0%No road tax on EVs
Tamil Nadu0%Exempt till 2026
Telangana0%100% waiver + registration fee waived
Karnataka0%Zero road tax under 2021 policy
Uttar Pradesh0% (till 2026)For early adopters only
Rajasthan75% waiverPartial benefit for e-vehicles
West Bengal50% waiverApplicable on EVs below ₹15 lakh
Punjab0%Waiver announced in 2025 budget

How to Register an EV in India: Step-by-Step (2025)

1. Choose the Right EV

Whether you’re opting for an electric scooter or a luxury electric SUV, confirm the model qualifies as a pure electric vehicle.

2. Collect Documentation

You’ll typically need:

  • Invoice from dealer
  • Valid ID and address proof
  • PAN card (for vehicles above ₹10 lakh)
  • Insurance documents
  • Battery & motor compliance certificates
  • Form 20 & Form 21 (dealer-supplied)

3. Visit RTO or Apply Online

Most states now allow online registration for EVs through Parivahan or state-specific transport portals.

4. Pay Applicable Charges

For EVs in 2025, you’ll typically pay:

  • ₹0 for registration fee
  • ₹0–Minimal for road tax (depending on the state)
  • Smart card fee (₹200–₹500)
  • HSRP (High-Security Registration Plate) charges

5. Get Your Green Number Plate

All electric vehicles in India get distinct green license plates:

  • White font on green background for private EVs
  • Yellow font on green background for commercial EVs

Benefits of Road Tax & Registration Waivers

1. Lower Upfront Costs

For example, a ₹12 lakh electric SUV in Maharashtra can be ₹1.5–₹2 lakh cheaper compared to its petrol version after tax exemptions.

2. Easier Entry for Fleet Operators

Cab services, logistics players, and rental companies can scale their EV fleets faster without road tax burdens.

3. Encourages Rural Adoption

Lowering registration overheads helps in rural and Tier-2 city penetration of EVs.


Commercial EVs & Road Tax Rules

Commercial EVs like e-rickshaws, electric delivery vans, and buses also benefit from the new rules. Most states extend 100% tax waivers on commercial EVs and also offer:

  • Faster permit approvals
  • Green corridor access
  • Toll exemptions on selected highways

Used EVs and Re-registration in 2025

With the used EV market slowly gaining ground, the government has also introduced relaxed norms for re-registration of electric vehicles:

  • Lower re-registration fees
  • Shorter document verification window
  • No fitness test required for private EVs under 15 years

Challenges in Implementation

Despite these reforms, a few on-ground challenges remain:

  • Lack of uniformity across states in paperwork and online portals
  • Delays in issuing green plates in some districts
  • Miscommunication by dealers about EV benefits
  • Difficulty claiming waivers without up-to-date local policies

Buyers are advised to verify the current policy from the official transport office or trusted dealer before finalizing the purchase.


FAQs – Frequently Asked Questions

Q1. Is road tax completely waived on EVs in India in 2025?

Yes, in many states like Delhi, Maharashtra, Gujarat, and Tamil Nadu, road tax for electric vehicles is fully waived.

Q2. Do I have to pay registration charges for a new electric vehicle?

No, as per 2025 MoRTH guidelines, all EVs are exempt from registration fees across India.

Q3. Can I register my EV online?

Yes, many states allow online EV registration through portals like Parivahan or state transport department websites.

Q4. Are commercial EVs also exempt from taxes?

Yes, commercial EVs enjoy similar or even better incentives, especially in states with active EV policies.

Q5. What is the color of the number plate for EVs?

Green background plates are mandatory. White font for private use, yellow font for commercial.

Q6. Do hybrid cars qualify for these benefits?

No, most benefits are exclusive to fully battery-operated electric vehicles, not hybrids or plug-in hybrids.

Q7. Are these exemptions permanent?

Most policies are valid till 2026 or 2030, depending on the state. Some are subject to annual renewals or policy updates.


Conclusion

The 2025 regulatory framework for electric vehicle registration and road tax in India has been designed to make EV ownership easier, cheaper, and more seamless than ever before. With waivers on both registration and road tax, the government has removed two major cost hurdles.

However, it’s important to note that EV benefits still vary by state and are subject to future changes. As India pushes forward on its electrification goals, staying updated on policy revisions can help buyers make more informed and cost-effective decisions.

Whether you’re a first-time EV buyer, a fleet manager, or just EV-curious, the updated 2025 rules offer compelling reasons to go electric today.

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