Archive · 15 Sep 2025
Bengaluru Car Buyers Face High Costs Due to Taxes, Fees
Buying a car in Bengaluru is more expensive than other places due to high taxes and fees.
The road tax can be up to 18% of the car's cost, and there are extra charges like the Infra Cess.
These costs add up, making a car that costs Rs 10 lakh to cost Rs 1.92 lakh more due to taxes and fees.
While a new GST system lowers costs across the country, Bengaluru's high fees remain, impacting car buyers' budgets.
Bengaluru has the highest road tax rates in India.
Road tax in Bengaluru is up to 18% for cars over Rs 20 lakh.
Additional charges like Infra Cess, registration, and safety tax increase costs.
A Rs 10 lakh car can incur nearly Rs 2 lakh in road tax and RTO fees.
New GST changes could bring down costs, but Bengaluru's unique fees persist.
- Who
- Car buyers in Bengaluru
- What
- Paying significantly higher on-road car prices
- When
- Ongoing
- Where
- Bengaluru, Karnataka
- Why
- Due to high road taxes and additional RTO charges
- Road Tax Rate (Bengaluru)
- Up to 18% based on car cost
- Infra Cess
- 11% in Bengaluru
- Registration Fee
- Rs 600 (approx.)
- Hypothecation Fee
- Rs 1,500 (if financed)
- Road Safety Tax
- Rs 1,000
- FASTag Fee
- Rs 600
- GST on cars
- 18% or 40%, included in ex-showroom cost (effective Sept. 22)