BENGALURU: For more than twelve months, a striking red Ferrari cruised across Bengaluru’s roads, drawing admiration—and curiosity. Then, on Thursday, its journey hit an unexpected pause close to Lalbagh as transportation authorities stopped it, suspecting evasion of Karnataka's one-time lifelong tax payment.
The SF90 Stradale, valued at ₹7.5 crores and registered in Maharashtra, was being driven in the city even after crossing the permitted one-year period for non-local vehicles. To prevent the vehicle from being seized, its owner—a businessperson—paid ₹1.4 crores as taxes and penalties on the spot.
Following a complaint, officials from the Jayanagar RTO started monitoring a Ferrari that was often seen driving around Bengaluru. By Thursday, their investigation revealed that the vehicle’s owner had failed to pay the lifelong tax applicable in Karnataka.
In Maharashtra, the tax applicable on such vehicles is a fixed amount of ₹20 lakh, whereas in Karnataka, it goes up to almost ₹1.5 crores. The car had been registered in Maharashtra two years back. On Thursday around 8:30 am, the driver was driving past Lalbagh when officials intercepted him. Upon requesting the necessary papers, he claimed they were left at his house. Subsequently, authorities cross-checked the registration details, as stated by an officer.
Following an inquiry, RTO authorities determined that the car had been operating in the city for more than 18 months. The officer explained, "According to regulations, when a vehicle registered out of state remains in use within this region beyond one year, the owner is required to clear all due taxes; otherwise, the vehicle may be impounded."
The officer stated that they had informed higher-ups about the matter, and those officials instructed them to confiscate the Ferrari should the owner not cooperate. "Afterward, the owner consented to settle the outstanding tax," the official verified.
The entrepreneur with operations spanning 55 places in India decided to register the vehicle in Maharashtra to take advantage of the reduced tax rates. However, an official stated, "The regulations are straightforward—if you operate a vehicle registered outside Karnataka within this state for over twelve months, you become responsible for paying permanent road tax here."
It’s not the first instance of the RTO taking steps against luxury car owners violating tax regulations. Over the past few years, enforcement agencies have conducted several campaigns in Bengaluru aimed at premium vehicles evading regional taxes.
During a special initiative carried out in March, the department recovered ₹40 crores from several high-end vehicles registered in other states. Government officials mentioned that this current campaign would be ongoing.
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