Jammu and Kashmir Transport Subsidy Scheme

Government of Jammu and Kashmir will provide a subsidy of Rs. 5,00,000/- or 16% of Vehicle Cost to those beneficiaries who are interested in scrapping their 15 years or more old vehicles (Buses, Mini Buses, Matadors) and purchase new, efficient one under the Transport Subsidy Scheme. Read here to know more.

Introduction of Jammu and Kashmir Transport Subsidy Scheme: A Brief Insight

• Countries and their Governments all over the world are fighting against Global Warming and taking precautionary measures to control emissions.
• Major contributor to pollution is vehicle emissions.
• Now all governments across the globe have introduced new eco-friendly, fuel-efficient vehicles to comply with the latest emission norms.
• In the latest Government of Jammu and Kashmir introduced a new Transport Subsidy Scheme to facilitate those vehicle owners financially who own 15 years or more old.
• The name of the Scheme is “Transport Subsidy Scheme of Jammu and Kashmir”.
• Transport Department of the Jammu and Kashmir Government is the implementing department of this scheme.
• The other major name of this scheme is “J&K Transport Subsidy Scheme” or “J&K Subsidy Scheme to Purchase New Vehicles”.
• The main aim behind starting this scheme is to reduce private car ownership and encourage people to use public transport which can solve the problem of traffic, parking and also helps government to fight air pollution.
• J&K Government will now provide a subsidy to all those vehicle owners who want to replace their old vehicles and want to purchase new ones.
• Old Buses, Mini Buses, and Matadors that are 15 years or more old can be replaced under this Transport Subsidy Scheme.
• Beneficiary Owner of Old Bus will geta  Subsidy of Rs. 5,00,000/- by replacing Old Bus and purchasing a New One.
• Whereas Old Mini Buses and Matadors owners will get subsidy of 16% of vehicle cost or Rs. 5,00,000/- whichever is less if they are willing to replace their old vehicle and buy new one.
• Subsidy on the purchase of new vehicle under Transport Subsidy Scheme of J&K Government will only provided to those beneficiaries who are willing to replace their old vehicle and who are in a need of loan to raise capital.
• Vehicle Owners can also take the facility of a bank loan for the remaining vehicle cost.
• After purchasing a new vehicle, the owner will not transfer or sell it to another person for a minimum of 5 years.
• Beneficiary Vehicle Owner can only apply for a subsidy under this scheme after deregistering and scrapping of their old vehicle.
• The scrapping of a Vehicle should be done by a Registered Scrap Dealer.
• Cut Piece of the chassis of the Old Vehicle should be preserved by the vehicle owner at the time of scrapping.
• The documents of the old vehicle should be valid and up to date at the time of scrapping and deregistering.
• There should be no Government dues like token tax, fitness tax, fitness fees, permit fees, bank loan pending on vehicle.
• After scraping and deregistering of old vehicle, beneficiary can apply for subsidy on the purchase of new vehicle under Jammu and Kashmi Government’s Transport Subsidy Scheme.
• Subsidy will be transferred to the bank, which will further transfer it to the vehicle agency along with the loan.
• In case of help or assistance needed about the Transport Subsidy Scheme of the J&K Government, beneficiaries can contact their nearest RTO Office.

Benefits Provided to Eligible Beneficiaries

• Government of Jammu and Kashmir will provide the following benefits to all vehicle owners who own 15 years or more old vehicles (Old Buses, Mini Buses, Matadors) to replace them and to purchase a new one under its Transport Subsidy Scheme :-
  • Subsidy of Rs. 5 Lakh will be provided to replace Old Buses and to Purchase New ones.
  • Subsidy of 16% of Vehicle Cost or Rs. 5 Lakh whichever is less will be provided to replace Old Mini Buses and Matadors to purchase New Ones.
  • Bank Loan Facility for the remaining Cost ofthe  Vehicle is also available.

Eligibility Conditions Required to be Fulfilled

• Subsidy on the replacement of old vehicles and to purchase new vehicles will only be provided to those beneficiaries who fulfill the below-mentioned eligibility conditions of the Jammu and Kashmir Transport Subsidy Scheme :-
  

  Vehicle Owners of J&K are Eligible to Apply. Beneficiary Vehicle Owner should have any of the following vehicles whose age is 15 years or more :- Old Buses. Mini Buses. Matador. Beneficiary Vehicle Owner should have Valid and Updated Documents for the Vehicle. The vehicle of the Beneficiary should be free from all Government dues.

Documents Required to be Attached

• Vehicle Owners will have to attach the following documents with the Application Form of Transport Subsidy Scheme of Jammu and Kashmir Government at the time of applying for a subsidy for the replacement of an old vehicle and purchase of a new vehicle :-
  • Vehicle Registration Certificate.
  • Vehicle Insurance.
  • Chassis Cut Piece of Vehicle.
  • Scrapping Certificate from Registered Scrap Dealer.
  • Vehicle Permit.
  • No Dues Certificate of Token Tax, Passenger Tax, Fitness Tax, Fitness Fee, Permit Fee.

How Beneficiaries Can Avail the Benefit of this Scheme

• Beneficiary owners of Old Buses, Mini Buses or Matadors whose vehicles are above 15 years can apply for Transport Subsidy on the purchase of a new vehicle under this scheme.
• Firstly, they have to condemn their vehicle and get it scrapped and apply for deregistration in the concerned Road Transport Office.
• After deregistration and scrapping of vehicle, beneficiary owner can apply for transport subsidy for new vehicle purchase under Jammu and Kashmir Government’s Transport Subsidy Scheme.
• Application Form of the Transport Subsidy Scheme can be collected from the RTO Jammu and Kashmir.
• Application for Transport Subsidy can also be submitted on plain paper.
• Vehicle Owner will have to attach all the required documents with the application form.
• Vehicle Scrapped Certificate from a Registered Scrap Dealer will be mandatorily needed to be attached.
• RTO Officials will scrutinise the received application forms and make a list of eligible vehicle owners.
• Vehicle Owners selected for the Transport Subsidy for new vehicle purchase will be informed through SMS on their mobile phone.
• After approval of applications for subsidy, beneficiaries will have 3 months time to purchase a new vehicle.
• Government of Jammu and Kashmir will transfer the subsidized money to banks, and the concerned bank will then transfer the loan amount and subsidized amount to the Vehicle Agency/ Dealer.
• Application Status of the J&K Transport Subsidy Scheme can be checked by visiting the RTO Office.

Important Links Available

• Guidelines of Transport Subsidy Scheme Jammu and Kashmir.
• Official Website of Jammu and Kashmir Transport Department.

Contact Details in Case of Help Needed

• Contact Number of Transport Commissioner Office :-
  • 0191 2476091.
  • 0191 2506686.
• Contact Email of Transport Commissioner Office :- tptcommissionerjk@gmail.com.
• Contact Numbers of Jammu and Kashmir Transport Department.

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