Rs 2 crore luxury purchase, Rs 20 lakh tax: Mumbai car dealers who saved 14 lakh with Diu and Daman registrations face licence cancellation; what about their customers?

Mumbai RTOs have issued show-cause notices to 19 car dealers over alleged fake rental agreements used to register luxury vehicles in Diu and Daman and avoid Maharashtra's higher motor vehicle tax. On a hypothetical Rs 2 crore petrol car, the tax difference could be Rs 14 lakh. The crackdown raises a practical question for customers who bought vehicles through these dealerships: could they face tax demands or registration problems?
Read the full report on The Economic Times
Story file
- Section
- Business
- Topics
- Cars & bikes
- Places
- Maharashtra, Dadra & Nagar Haveli and Daman & Diu
- First reported by
- The Economic Times
- Reporter
- et online
- Published
- Sunday, 25 October 2026, 12:17 pm IST
- Coverage
- One outlet so far
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