Registering a new luxury car in India takes one application on Form 20, filed within seven days of delivery with your insurance, address proof and the maker’s and dealer’s certificates. Your dealer normally files it through the Vahan portal. The paperwork is the easy part, and the fee is only a few hundred rupees. The expensive part is road tax, which can run from about Rs 19.5 lakh to about Rs 43 lakh on the same Rs 1.95 crore BMW depending on the state. So settle where the car will be registered, and in whose name, before the invoice is raised.
Documents needed for luxury car registration
Rule 47 of the Central Motor Vehicles Rules sets out what goes with the application. On a new car from an authorised dealer, most of it comes from the dealer. Your part is short.
| Document | Who provides it | Note |
| Form 20, application for registration | You and the dealer | Filed online in most cases |
| Form 21, sale certificate | Dealer | Name must match the invoice and buyer |
| Form 22, roadworthiness certificate | Manufacturer | Issued for the specific car |
| Valid insurance certificate | Insurer | Needed before the car can be registered |
| Address proof | You | Decides which registering authority handles the car |
| Proof of citizenship | You | Foreign nationals also show proof of legal presence |
| Temporary registration, if one was issued | Dealer or RTO | Only where the car has one |
| Customs clearance certificate | Importer | Fully imported cars only |
| PAN | You | Also needed for tax collected at source on the sale |
| Registration fee and road tax | You | Fee under Rule 81, tax under state law |
Two details are worth checking early. The buyer’s name has to read the same across the invoice, insurance and address proof. And if the car is financed, the lender’s interest has to be recorded on the registration, so tell the dealer early rather than on delivery day.
The registration process, step by step
- Decide the owner and the address. You apply to the authority covering where you live or do business, or where the car is normally kept.
- Buy insurance and pay the taxes. The dealer usually collects road tax, the registration fee and any fancy-number charge along with the car’s balance.
- The dealer files on Vahan. The application, documents and tax payment go through the online system.
- Verification. Your RTO checks the application. Section 44 of the Motor Vehicles Act lets the authority ask for the car to be produced, so check whether your RTO needs to see it.
- Number allotted. You get a registration number, and a high-security plate is fitted.
- RC issued. The registration certificate follows, typically as a smart card.
Ask for the RTO and tax receipts rather than a single “registration charges” line on the dealer’s quote. On a car like this, a small error in the tax base can run into lakhs.
How long does registration take?
The law sets two clocks. The application is due within seven days of taking delivery, not counting the journey. If you need to drive the car before the permanent number is issued, temporary registration under Section 43 lasts at most one month and can’t be renewed. That one-month limit is why a dealer will push you to finish paperwork quickly. We couldn’t find a fixed national deadline for the RTO to issue the RC, so ask your dealer how long your RTO is taking.
| Stage | Time limit | Source of the rule |
| Registration application | 7 days from delivery, excluding journey time | Rule 47 |
| Temporary registration | Up to 1 month, not renewable | Section 43 |
| Private car RC validity | 15 years | Motor Vehicles Act |
| Renewal application | Within 60 days before expiry, on Form 25 | Motor Vehicles Act and rules |
| Moving the car to another state | New number if kept there over 12 months | Section 47 |
Registration fees vs road tax: where the money goes
The registration fee itself is tiny. Uttarakhand’s transport department lists Rs 600 for a private light motor vehicle, Rs 5,000 for an imported motor vehicle and Rs 200 extra for a smart-card RC. Treat those as a guide and check your own state’s page.
Road tax is the real bill. Here is what it could look like on a BMW 740 M Sport, priced at Rs 1.95 crore ex-showroom in BMW India’s September 2026 release. This is our estimate for a petrol car registered to an individual, using the rate on the ex-showroom price. States calculate this differently, so use it to compare, and get the exact number from your dealer.
| State | Published rate above Rs 20 lakh (petrol) | Approx. road tax on a Rs 1.95 crore car |
| Delhi | 10% (top slab, above Rs 10 lakh) | Rs 19.5 lakh |
| Haryana | 10% | Rs 19.5 lakh |
| Maharashtra | 13% | Rs 25.4 lakh |
| Karnataka | 18%, plus 11% cess on the tax | Rs 39 lakh |
| Tamil Nadu | 20% | Rs 39 lakh |
| Kerala | 22% | Rs 42.9 lakh |
Delhi, Haryana, Karnataka, Tamil Nadu and Kerala rates are as published by insurers Shriram General and PB Partners, not state gazettes, and rates change. Maharashtra’s come from Autocar India’s report on the state’s 2025 amendment.
Three choices that matter more than the paperwork
Whose name goes on the car. Maharashtra is the clearest case. Since 1 July 2025, individuals pay 13 percent on petrol cars above Rs 20 lakh, while cars registered to a company pay a flat 20 percent. The overall ceiling went from Rs 20 lakh to Rs 30 lakh, Autocar India reported. Delhi also charges company-registered cars more, according to ICICI Lombard. If you’re routing the car through your business, have your accountant run the numbers with this included, not only the depreciation benefit.
Whether the car is imported. Autocar India reports the same flat 20 percent for vehicles imported into the country in Maharashtra. If you’re ordering a fully built Porsche or Lamborghini for a Mumbai address, ask your dealer exactly how the tax was worked out. Imports also need a customs clearance certificate at registration, and Autocar reported in 2022 that RC renewal on an imported car costs Rs 40,000, against Rs 5,000 for a regular car older than 15 years.
What powers it. Tax on electric cars varies even more. Autocar India said in 2025 that EVs kept their tax benefits in Maharashtra, while Karnataka has charged 10 percent on EVs above Rs 25 lakh since 2024, and in April 2026 it ended the remaining exemptions for cheaper EVs. Check your state’s current position before you compare an EV with a petrol car.
Can you register a luxury car in a cheaper state?
Only if you really live, do business or keep the car there. Our view: a Haryana or Delhi address on paper for a car that lives in Bengaluru is a bad idea. Section 47 requires a new number once a car has been kept in another state for over 12 months, and that’s when the road tax question comes back. It also leaves you explaining the address to an insurer after a claim. On a car of this value, that’s not a risk we’d take for a tax saving.
If you’ve moved for real, you’ll need a no-objection certificate from the old RTO on Form 28 and a new number on Form 27, as well as your new state’s road tax. Refund rules vary by state and aren’t quick. Eligible employees can look at the BH series instead, though it’s less of a sure saving than it sounds.
What about a pre-owned luxury car?
There’s no fresh registration on a car staying in its state, only a transfer of ownership, and the road tax is already paid. That’s one reason a used car in a high-tax state can look good value. A car coming from another state is different, so check whether it has an NOC, what tax is due in your state, and whether the original tax was paid correctly. If you’re browsing pre-owned luxury cars on Motozite, confirm the RC details and any tax due directly with the seller and your RTO before you pay. Our Delhi NCR used car guide covers transfer in more detail.
Our advice before you sign
Get a full on-road quote for your actual registration address, with road tax shown as its own line. Then put the same car through our on-road price calculator as a sanity check, and read how ex-showroom and on-road prices differ. Tax collected at source of 1 percent applies separately on cars above Rs 10 lakh, so that’s another Rs 1.95 lakh at the seller’s end on the 740, which BMW’s price excludes. Our on-road price guide covers it.
And one last thing we’d do on any expensive car: get the name, address and owner type right before the invoice is cut. Most of this process is routine. Those three are the details that are hard to undo.
FAQ: luxury car registration in India
What documents are needed to register a new car in India?
You need Form 20, Form 21 (the dealer’s sale certificate), Form 22 (the maker’s roadworthiness certificate), valid insurance, address proof, proof of citizenship and the fee. Temporary registration papers apply if one was issued. Imported cars also need a customs clearance certificate. Your dealer usually handles most of this for a new car.
How long does it take to register a new car in India?
The application must be filed within seven days of delivery, excluding journey time. Temporary registration, if used, lasts up to one month and can’t be renewed. The actual time to receive the RC depends on your state and RTO, so ask your dealer for the current wait.
How much does it cost to register a luxury car in India?
The registration fee is small, around Rs 600 for a private car and Rs 5,000 for an imported car, going by Uttarakhand’s published list. Road tax is the main cost. On a Rs 1.95 crore petrol car, we estimate about Rs 19.5 lakh in Delhi and about Rs 39 lakh in Karnataka.
Which state has the highest road tax on luxury cars?
Among large car markets, Kerala’s 22 percent, Tamil Nadu’s 20 percent and Karnataka’s 18 percent plus cess are near the top, according to insurers’ published tables. Delhi and Haryana sit near 10 percent. Rates change often, so check your state transport department’s current rates before you buy.
Is road tax higher if a car is registered to a company?
In some states, yes. Maharashtra charges a flat 20 percent on company-registered cars, compared with 13 percent for an individual’s petrol car above Rs 20 lakh. Delhi also has higher rates for company cars, according to ICICI Lombard. Check your state’s rate before you decide.
How long is a car’s RC valid in India?
A private car’s registration is valid for 15 years and can then be renewed for five years at a time, subject to inspection. Apply on Form 25 within 60 days before the RC expires. Autocar India reported Rs 5,000 for renewing a car older than 15 years and Rs 40,000 for an imported one.
