West Bengal is considering a 40% waiver on overdue vehicle tax and related transport dues to accelerate recovery from commercial vehicle owners, with the proposal now awaiting approval from the state Finance Department.
Transport Minister Arjun Singh shared details of the proposal after a meeting with private bus and minibus operators, according to Sanmarg. If approved, eligible vehicle owners would need to pay 60% of their total outstanding amount, while the remaining 40% would be waived under the proposed scheme.
The state has around ₹1,720 crore in outstanding payments across vehicle tax, permit fees, licences and other transport-related charges. The proposal is intended to provide relief to defaulting commercial vehicle owners while improving the government’s recovery of long-pending dues.
The final conditions of the scheme, including the categories of vehicle owners who would qualify and the date on which it could take effect, have not yet been announced. The proposal has been sent to the Finance Department for approval, and no implementation date has been fixed.
The move follows a special recovery campaign launched last month by the Transport Department. More than 3.5 lakh vehicles in the state reportedly have tax arrears. However, the campaign recovered only slightly more than ₹100 crore in its first month, falling short of the amount the department had expected to collect.
The reported shortfall has increased pressure on the department to find a way to convert outstanding assessments into actual payments. The proposed waiver would reduce the amount payable by eligible owners, but the government has not stated how much of the ₹1,720 crore total it expects to recover through the scheme.
Private bus operators also raised the issue of buses operating on routes other than their designated routes during the meeting with the minister. Singh directed the police to take action in such cases, according to the report. The issue affects the regulation of the state’s privately operated bus network and the enforcement of route permissions.
The meeting also covered preparations for increased passenger demand during the Durga Puja period. Additional buses are being planned from October 12 to serve the expected rise in travel, although the report did not specify the number of buses or the routes on which they would operate.
The immediate next step is consideration of the 40% waiver proposal by the West Bengal Finance Department. The scheme’s eligibility rules, payment process and start date will depend on that approval.
