State Act

THE KARNATAKA MOTOR VEHICLES TAXATION ACT, 1957.

7. Refund of tax.- (1) Where a tax on any motor vehicle has been paid for any period and it is proved to the satisfaction of the prescribed authority that the vehicle has not been used during the whole of that period, or a continuous part thereof, not being less than one calendar month, a refund shall be made of such portion of the tax and subject to such conditions as may be prescribed. (2) When a motor vehicle in respect of which the tax has been paid is altered in such manner as to cause it to become a vehicle in respect of which the tax is leviable at a lower rate, the person who has paid such tax shall be entitled on the production of a certificate signed by a registering authority stating that the vehicle had been so altered to a refund of a sum equal to the difference between the amount which would be refundable to him in accordance with the provisions of sub-section (1), on the surrender of the 1[taxation card]1 and the amount of the tax leviable on such vehicle at the lower rate. 1[(3) Notwithstanding anything contained in sub-sections (1) and (2), where tax has been paid under sub-section (3) of section 4, the registered owner who has paid such tax shall be entitled to a refund of tax at the rate specified in 2[3[Part C, Part CC, Part C1, Part C2, Part C3, Part C4 and Part C5]3 5[Part C6, Part C7 and Part C8]5 7[Part C1(a), Part C4(a) and Part C7(a)]7 as the case may be]2 of the schedule in the case of,— (i) removal of the vehicle to any other State on transfer of ownership or change of address; or (ii) cancellation of registration of vehicle on account of scrapping of such vehicle due to accidents or other causes: Provided that in the case of removal of vehicle outside the State of Karnataka on transfer of ownership or on change of address the refund of tax will be considered only after receipt of proof for having effected the transfer of ownership or change of address. 4[provided further that the registered owner who has paid the tax in part under clause (i) of third proviso of sub-section (3) of section 4 shall not be entitled for a refund of tax, unless the tax is paid in full.] 4 6[Provided further that, the registered owner who has paid the tax in part under clause (i) of third proviso of sub-section (3) of section 4 shall not be entitled for a refund of tax, unless the tax is paid in full.]6 (4) Where a tax on any motor vehicle is paid in excess of the tax payable, the excess payment of tax so made may be adjusted towards any of the subsequent periods in respect of which the tax is due.]1 1[(5) Notwithstanding anything contained in this Act and the Rules made thereunder, no refund of tax shall be allowed in respect of vehicles classified as Vintage or Classic cars where the tax is paid for the life time of the vehicle as per sub-section (1) of Section 3 of the Act, either on removal of the vehicle to any other State on transfer of ownership or on change of address or on the cancellation of registration.]1 2[(6) Notwithstanding any order or direction contained in any judgment, decree or order of any Court, Tribunal or other authority, no refund of tax shall be allowed in respect of Motor Vehicles on which tax is levied or deemed to have been levied and collected under the fifth proviso to section 3 of the principal Act before the commencement of the Karnataka Motor Vehicles Taxation (Second Amendment) Act, 2007.]2 3[Explanation.—For the purpose of this section tax includes surcharge and additional surcharge payable under sections 3A and 3B.]3