⏱️ The 15-Second Answer:
Under the National Vehicle Scrappage Policy, if you scrap your old, unfit vehicle at a Registered Vehicle Scrapping Facility (RVSF), you receive a "Certificate of Deposit" (CD). Show this CD when registering your new vehicle to get a road tax rebate of up to 25% (for private vehicles) or 15% (for commercial vehicles).
(स्क्रैपेज पॉलिसी के तहत पुरानी गाड़ी कबाड़ में देने पर आपको 'Certificate of Deposit' (CD) मिलता है। नई गाड़ी खरीदते समय RTO में इसे दिखाने पर आपको रोड टैक्स में 25% तक की छूट मिल सकती है।)
(स्क्रैपेज पॉलिसी के तहत पुरानी गाड़ी कबाड़ में देने पर आपको 'Certificate of Deposit' (CD) मिलता है। नई गाड़ी खरीदते समय RTO में इसे दिखाने पर आपको रोड टैक्स में 25% तक की छूट मिल सकती है।)
What is the Vehicle Scrappage Policy? (व्हीकल स्क्रैपेज पॉलिसी क्या है?)
To reduce pollution and phase out old, unsafe vehicles, the MoRTH introduced the Voluntary Vehicle-Fleet Modernization Program (VVMP), commonly known as the Scrappage Policy. It incentivizes owners to scrap vehicles older than 15-20 years by offering tax rebates and manufacturer discounts on new purchases.
इस पॉलिसी का मुख्य उद्देश्य पुरानी और प्रदूषण फैलाने वाली गाड़ियों को सड़कों से हटाना और नई गाड़ियों की खरीद पर ग्राहकों को आर्थिक छूट देना है。
💡 Expert Note: The 25% road tax rebate is offered by state governments and may vary slightly by state. Additionally, automakers generally offer a 5% discount on the ex-showroom price of a new car against the Scrap Certificate.
Step-by-Step Guide to Claiming Your 25% Rebate
- Find a Registered Facility: You cannot scrap your car at a local, unorganized junkyard. You must hand it over to an official Registered Vehicle Scrapping Facility (RVSF). You can find the nearest RVSF via the Vahan portal.
- Surrender the Vehicle: Take your old vehicle, original RC, and your KYC documents to the RVSF. They will verify the chassis number against RTO records.
- Get the Certificate of Deposit (CD): Once the vehicle is destroyed, the RVSF will issue a digital "Certificate of Deposit". This document is officially linked to your Aadhaar and the Vahan database.
- Buy Your New Car: Go to a dealership to purchase your new vehicle. Inform the dealer you possess a valid CD.
- Claim Automaker Discount: Show the CD to get the standard OEM discount (typically around 5% of the ex-showroom price).
- Claim the Tax Rebate: When the dealer registers your new car on the Vahan portal, they must select the option to apply the Scrappage Certificate. The RTO system will automatically calculate and deduct the 25% (or state-specified) rebate from your motor vehicle tax liability.
Common Issues & Fast Fixes (आम समस्याएँ और उनके समाधान)
- RVSF Cannot Fetch RC Details: If your RC is extremely old (non-digital), you must first get your RC digitized or updated (backlog entry) at your local RTO before the RVSF can accept it. (अगर आपकी RC पुरानी है और ऑनलाइन नहीं दिख रही है, तो पहले RTO जाकर इसे डिजिटल करवाएं।)
- Can I Sell My CD? Yes! The Certificate of Deposit is electronically tradable. If you don't plan to buy a new car, you can legally transfer or sell your CD to someone else who is purchasing a new vehicle.
- Rebate Not Showing Online: The dealership must select the correct CD token during the Vahan registration flow. Ensure the dealer is fully aware of how to apply the scrapping certificate on the portal.
Conclusion
The Scrappage Policy turns your old, polluting vehicle into a valuable asset. Always ensure you are dealing with a government-approved RVSF to secure your Certificate of Deposit. If you follow the official process, you'll save thousands on road tax and manufacturer discounts on your next purchase.