Isuzu Gets Road Tax Exemption In Andhra Pradesh

Isuzu's ‘Make in India’ endeavour is bearing some fruit. The Government of Andhra Pradesh recently announced a special exemption for Isuzu vehicles within the state, which is applicable between November 18, 2016, and March 31, 2022. 

The exemption includes a complete waiver of road tax for vehicles manufactured and sold by Isuzu in Andhra Pradesh. The road tax components include a 14 per cent one-time tax (for passenger vehicles) and a quarterly road tax, to be paid throughout the life of the vehicle (for commercial vehicles). Notably, the notification also states that future passenger vehicles rolled out from the Chittoor-based manufacturer will also be exempted from tax. 

The Japanese automaker is the only automobile manufacturer to have its hub in Andhra Pradesh. The facility, which kicked off operations in April 2016, is spread over 107 acres and manufactures the D-Max range of commercial pickups as well as the V-Cross. The production line pumps out 50,000 units annually, which Isuzu claim can be bumped up to 120,00 units if required. Needless to mention, it contributes greatly to the state's exchequer while providing employment opportunities to the local population. The move is definitely positive for the manufacturing sector, as it reinforces the state's backing in investments made by multinational companies. 

The pickup truck costs approximately Rs 15 lakh on-road (with all taxes accounted for) in Andhra Pradesh. The break in tax will make Isuzu's lone passenger pickup cheaper by close to Rs 2 lakh in its home state. Notably, the big boy from Isuzu's stable, the MU-7, isn't under the exempt list since it is produced at Hindustan Motors' plant located in Thiruvullur, Chennai.

Recommended Read: Isuzu D-Max V-Cross Review