Trivandrum: In a major support to Kerala’s Caravan Tourism initiative, Keravan Kerala, the Transport Department has slashed the quarterly Motor Vehicle tax on tourist caravans operating in the state by 50 per cent from Rs 1,000 to Rs 500 with effect from April 2022.
The decision is taken in compliance with the proposal made by the Government in 2022-23 state budget. According to a Government Order in this regard, the concession will be made available to tourist caravans based on the details furnished in advance by the Director of Tourism.
The reduced tax rate for the eligible vehicles will be made applicable from the succeeding quarter after the date of execution of the contract with the Tourism Department. The caravans shall have a valid contract carriage permit and is registered under the category ‘transport vehicles’ to be entitled for the concession.
Caravans will cease to enjoy the concession on termination of the contract with the Tourism Department. The Tourism Director will have to furnish the details of the termination of such contract with the office of the Transport Commissioner.
“Kerala’s caravan tourism policy made a difference at the very outset itself as it offered attractive incentives for the tourist caravan operators. The reduction of tax by 50 per cent will further incentivize this initiative and accelerate the pace of post-pandemic revival of the sector”, said Tourism Minister, Shri P A Mohamed Riyas.
“This decision comes as a major boost to the caravan tourism initiative, which is a fast-growing mode of tourism in Kerala,” said Tourism Director, P B Nooh.
Shortly after Tourism Minister unveiled the Caravan Tourism Policy last year, Transport Minister, Shri Antony Raju had promised to reduce the motor-vehicle tax on tourist caravans, considering the immense scope of Caravan Tourism.