With Online Dealer Point registration (collection of Application in form-20 with fees and tax for Registration), new vehicle registration process could be more simplified and less time consuming. It is a step towards decentralising the digitisation of registration data and eliminating cash handling at the RTO (Regional Transport Office) cash counter.

The initiative can execute the CMV Rule 42, which says a Trade Certificate Holder shall not deliver the vehicle to the purchaser without registration of the vehicle whether it is permanent or temporary. 

Till date, if a vehicle is not registered within seven days of purchase, the buyer has to pay RTO a late fee to the tune of five percent of the cost of vehicle. In most cases, while dealers get the payment from buyers, they are not quick to transfer it to the treasury for registration, passing on the late fees to the buyer, which is fundamentally wrong.

Except from the ex-showroom and VAT, the buyer needs to pay Rs 300 as RTO charges additionally. But with the new system, wrong-doings done by the dealer will be reduced.

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