Mercedes-Benz G63 AMG Registered As GLA Seized by RTO: Tax Evasion Racket Exposed
Lately, we have been getting several reports of luxury cars that were allegedly evading taxes being seized by the Transport Department in Karnataka. This operation started in Bengaluru and later spread to other parts of the state. We have now come across a report that suggests this is actually a scam that allegedly involves officials from the Mangalore Transport Office.
As part of this scam, undervaluation of luxury cars was done, and this way, the original owner used to save lakhs in road tax. Recently, a case from Mangaluru came to light where a Mercedes-Benz G63 AMG was registered as a GLA SUV and was used in Karnataka.
The officials found that the car was originally bought by Nihal Ahmad in 2017. Since then, the car was actually used on the road with a temporary registration. This continued for 8 years before getting a permanent registration number.
However, there was a twist here as well. The car was registered using the actual chassis and engine number, but the model number of the car was altered during registration. Instead of G63 AMG, the car was registered as a Mercedes-Benz GLA. The first owner of the car sold it to another customer in 2025.
A G63 AMG customer would have to pay a road tax of Rs 68 lakh, but in this case, as the vehicle was wrongly labelled as a GLA, he only had to pay around Rs 10 lakh as road tax. This is actually a loss to the authorities. Authorities say that the model number was altered during the resale process.
This scam came to light during a luxury vehicle inspection in Mysuru. After the officers found that the car didn’t have proper documents, the G63 AMG was seized, and the RC (registration certificate) has been blacklisted. An investigation has been launched under the directive of the Joint Commissioner of the Shivamogga Regional Transport Department.
This incident highlights the corruption in the system. The car was being used on the road, and it even had a valid registration and registration certificate. The owner wouldn’t have been able to achieve this without help from the department. The corrupt officials in the Transport Department would have actually helped the owner register this vehicle as an inexpensive Mercedes to save several lakhs in road tax. Hopefully, they will soon nab the individuals behind it and take necessary action.
The Transport Department is currently conducting such raids in almost every part of the state. They have seized several expensive cars over tax evasion. Recently, several cars like Mercedes-Benz, Audi, Porsche, and Rolls-Royce that were not registered in Karnataka were seized by the officials. Many people who buy expensive cars often choose to register them in Puducherry, as the road tax there is considerably lower compared to other states, being a Union Territory.
The Transport Department in Karnataka charges 28 percent GST plus 22 percent conveyance charges on the ex-showroom price of the car. On the total amount obtained, 18 percent road tax and 11 percent cess are charged at the time of registration for cars priced above Rs 20 lakh.