Amid a surge of misinformation circulating across social media, the Motor Vehicles Division of the Sikkim Transport Department has issued a detailed clarification on June 18, 2025, to dispel confusion regarding the state’s revised tax structure for vehicle re-registration and ownership transfer. The department took this step to address public concerns and counter misleading claims suggesting a substantial increase in fees—particularly an alleged imposition of an additional ₹25,000 tax for re-registering older vehicles.

In its official statement, the department categorically denied these reports, clarifying that no such exorbitant amount is being levied. It cited Notification No. 19/CCS/GOS/MVD/2025, issued on March 27, 2025, which officially outlines the revised tax policy. According to the notification, the maximum additional tax for re-registration is capped at ₹5,000. This amount is not fixed for all vehicles; rather, it is determined proportionally based on multiple factors, such as the vehicle’s age and category.

The department strongly condemned the misinformation being shared on various digital platforms, labeling it as “completely incorrect and misleading.” It reassured vehicle owners and the general public that the state government has not introduced any arbitrary or excessive hikes in re-registration fees. The revised tax norms were developed to streamline vehicle regulatory procedures and improve administrative efficiency, not to financially burden citizens.

Further elaborating on the new policy, officials clarified that the additional tax is not uniformly applied to all vehicles. Instead, it is calculated using a formula that takes into account specific parameters such as the type, make, age, and intended use of the vehicle. For instance, older vehicles or those belonging to certain categories may attract lower or higher amounts within the capped limit, depending on how they align with the defined criteria.

The revised tax policy is also designed to facilitate better compliance with motor vehicle regulations, particularly in cases involving inter-state vehicle transfers and changes in ownership. The government aims to create a more transparent and standardized procedure that ensures accountability and reduces delays in processing vehicle-related documentation.

The Motor Vehicles Division emphasized that vehicle owners and other stakeholders should refrain from relying on unverified information circulating on social media. Instead, they should consult only official sources for the most accurate and updated details. Citizens were specifically urged to visit the department’s official website—www.transportdepartment.sikkim.gov.in—for authentic information regarding taxes, policies, and services.

The press release reflects the department’s proactive approach in managing public concerns and maintaining transparency in governance. By addressing the issue directly, the Sikkim Transport Department has reiterated its commitment to fair, citizen-friendly policies and regulatory clarity, aiming to maintain public trust and prevent the spread of disinformation.