Toll Plaza New Rule: If you have outstanding toll tax dues, you will not be able to sell your vehicle, nor will you receive a fitness certificate..
Vehicle owners will now be required to pay all outstanding toll plaza dues before selling their vehicle or obtaining a fitness certificate. The government has taken this step, intending to implement a barrier-free tolling system. The Ministry of Road Transport and Highways has notified the amended Central Motor Vehicles Rules, 2026, in this regard. The objective is to ensure that all outstanding user fees at toll plazas are paid by vehicle owners.
The ministry stated that these amendments aim to improve user fee compliance, enhance the efficiency of electronic toll collection, and discourage toll evasion on national highways. The ministry added that these provisions will help strengthen user fee collection even after the implementation of the Multi-Lane Free Flow (MLFF) system, under which toll collection will be done without any barriers on the national highway network.
What happens if dues are not paid?
The ministry clarified that in case of outstanding toll liabilities, a No Objection Certificate (NOC) for vehicle transfer, fitness renewal, and permits will not be issued. A new definition of ‘outstanding user fee’ has been added under the amended rules. This refers to a fee that is considered payable for the use of a section of a national highway where the electronic toll collection system has recorded the movement of the vehicle, but the fee prescribed under the National Highways Act, 1956, has not been received.
What is the purpose of this change?
The ministry said that these amendments will help the National Highways Authority of India (NHAI) promote a transparent and technology-based tolling system, which will strengthen the sustainable development and maintenance of the national highway network across the country. Corresponding changes have also been made to ‘Form 28’. This form will now require the applicant to disclose whether any outstanding user fee demand is pending against the vehicle at any toll plaza, along with providing the relevant details.
What is Form 28?
Promoting digital processes, the rules also provide for the electronic issuance of relevant parts of Form 28 through a designated online portal. Form 28 is a crucial document for vehicle transfer, certifying that there are no pending taxes, fines, or legal encumbrances on the vehicle. The ministry stated that these amendments were notified after considering suggestions received from stakeholders and the general public on the draft rules issued on July 11, 2025. Copies of the draft notification were made public on July 14, 2025. Union Minister for Road Transport and Highways, Nitin Gadkari, had also stated that implementing a seamless, barrier-free tolling system on national highways by 2026 is a priority for the government.
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