Selling your car will be difficult if you haven't paid tolls; new rules implemented on second-hand sales

Toll Tax New Rule: The government has tightened toll rules on National Highways. Now, if there are outstanding tolls, the vehicle's NOC, fitness certificate, and national permit will not be issued. This step has been taken to strengthen FASTag and electronic toll collection and prevent toll evasion.

Toll Tax New Rule: On January 20, Tuesday, the government tightened toll rules on National Highways. Vehicles that do not pay tolls will not receive facilities such as NOC, fitness certificate, and national permit. The aim is to strengthen the Electronic Toll Collection (ETC) system and prevent toll evasion. Sometimes, due to technical reasons or a low balance in FASTag, the tag is not scanned, and the toll is not deducted. Now, the unpaid toll of such vehicles will be directly linked to the vehicle's record.

Which services will be suspended?

Fitness Certificate: Renewal or issuance of a fitness certificate is mandatory for commercial vehicles. According to the new rules, if there are any unpaid toll fees on the vehicle, the fitness certificate will not be issued or renewed. The outstanding toll must be paid first, only then will the fitness certificate be issued.

No Objection Certificate (NOC): An NOC is required to transfer a vehicle from one state to another or to sell it to someone else. Under the new rules, if there are any outstanding tolls (Unpaid User Fee) on the vehicle on the National Highway, the NOC will not be issued. While applying for an NOC, it will be mandatory to provide information about outstanding tolls in Form 28. The NOC will not be issued until the entire outstanding toll is paid.

National Permit: A national permit is required for commercial vehicles to operate in more than one state. The new rules clarify that a vehicle with outstanding user fees on the National Highway will not receive a national permit. The vehicle's toll record must be completely clear to obtain the permit.

How will this system work?

When a vehicle passes through a National Highway toll plaza, its entry is automatically recorded in the Electronic Toll Collection (ETC) system. If, for any reason, the toll fee cannot be deducted, the amount will be recorded in the system as an 'Unpaid User Fee'. This outstanding toll will be linked to the vehicle's registration number.

When the vehicle owner applies for an NOC, fitness certificate, or national permit, the system will first check if there are any outstanding tolls against the vehicle. If outstanding tolls are found, the application will be automatically put on hold.

The vehicle owner will have to pay the outstanding toll online or through designated channels. As soon as the payment is completed, the system will be updated, and the relevant service (NOC/Fitness/National Permit) can be issued. This entire process will be digital and automated, which will prevent toll evasion and facilitate the implementation of barrier-free tolling (MLFF system).