Orissa HC Allows Time to Clear Motor Vehicle Tax

Sunil Kumar Dehury Vs State Transport Authority (Orissa High Court)

The Orissa High Court has provided a vehicle owner, Sunil Kumar Dehury, with a temporary resolution regarding his outstanding motor vehicle tax dues. The petitioner had filed a writ petition challenging the levy of Motor Vehicle Tax and an additional tax for the period from July 1, 2024, to March 31, 2025. The core of the petitioner’s grievance was that these tax arrears and associated penalties were uploaded to the Transport Department’s web portal without any prior demand notice or opportunity for a response.

During the hearing, the petitioner’s counsel acknowledged that the non-payment of the tax was due to “financial exigencies.” The counsel requested permission for the petitioner to deposit the tax arrears while simultaneously filing a reply to seek a waiver of the penalties, citing Section 13 of the Odisha Motor Vehicle Taxation Act, 1975, which provides for such provisions.

Pravakar Behera, the learned Standing Counsel for the Transport Department, did not object to this approach. He confirmed that while no formal demand notice had been served, the petitioner was free to deposit the tax and submit an application for a penalty waiver.

Considering the submissions of both parties, the court disposed of the writ petition without delving into the merits of the case. The court permitted the petitioner to deposit the outstanding Motor Vehicle Tax and additional tax within four weeks. Upon payment, the petitioner is also directed to file a reply with the appropriate authority for the waiver of penalties. The authority is then required to consider this reply within four weeks of its submission.