The Motor Vehicles Department has ordered the collection of taxes including dues, but no investigation has been initiated against officials implicated in the tax evasion scheme.

The Motor Vehicles Department has ordered the collection of taxes including dues, but no investigation has been initiated against officials implicated in the tax evasion scheme.

The Motor Vehicles Department has ordered the collection of taxes including dues, but no investigation has been initiated against officials implicated in the tax evasion scheme.

Kottayam: A fraudulent method of tax evasion by tourist bus owners has come to light in the State. It involves the removal of pushback seats during the registration process and their subsequent replacement with ordinary seats. Preliminary reports suggest that this tax evasion amounts to approximately Rs 64 lakh.

The Motor Vehicles Department has instructed officials to collect taxes for pushback seats along with any outstanding dues from the bus owners. However, as of now, no investigation has been announced against the officers implicated in this tax evasion fraud.

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Tax for tourist buses is determined based on the type of seats installed. For ordinary seats, the tax per seat for a three-month period is Rs 680, whereas for pushback seats, it is Rs 900 per seat for the same period. Official sources estimate that 233 buses categorised as deluxe (DLX) and deluxe with AC (ACX) were registered as having ordinary seats, resulting in tax evasion exceeding Rs 64 lakh.

According to the Code of Practice for Bus Body Design & Approval, 2016, pushback seats are mandatory for DLX and ACX buses. It has been discovered that pushback seats are removed during registration and replaced with ordinary seats. After completing registration, the pushback seats are then reinstalled.