BH Registration v/s Normal Registration: Comparing Road Tax Costs

Understanding the complexities of road tax and car registration is critical for car owners, especially when travelling between two states. The Indian government has adopted the Bharat Series (BH) number plates to simplify automobile registration for people who move frequently. 

Whether you’re opting for a normal vehicle registration or exploring the new-age BH number plate, understanding the difference between BH registration cost vs normal registration cost can help you make a more informed decision for your vehicle in 2025. This article covers the differences in road tax expenses between BH and standard registration and provides a thorough comparison.

What is Normal Vehicle Registration?

Registering a vehicle in India is a mandatory process that ensures legal ownership and allows the vehicle to be driven on public roads. The process is governed by the Motor Vehicles Act, of 1988.

The road tax for normal registration is generally valid for 15 years for private vehicles and 2 years for commercial vehicles. After this period, it needs to be renewed. If an individual sells the vehicle, the ownership must be transferred to the new owner through the RTO.

For electric vehicles, the number plate is green with white letters for private vehicles and yellow letters for commercial vehicles. 

Based on the state, individuals need to pay the applicable registration fee, road tax, and any other charges at the RTO.

Also Read: Property Registration in India

What is a BH Number Registration?

The Motor Vehicles Act enables vehicles to be driven for up to 12 months without changing their registration to a new state. However, after that, they need to re-register that vehicle. 

Failure to comply with this law may result in significant fines and penalties. So, to remedy this issue, the Ministry of Road Transport and Highways (MoRTH) launched BH number plates, which enable vehicle owners to transfer to any area in India without having to re-register their vehicles.

The BH or Bharat series number plate was implemented in 2021 to guarantee that vehicles move seamlessly across the country. Also note that the BH number plate cost is calculated based on the ex-showroom price and is paid in two-year block.

It is offered to government employees, private-sector employees, and military personnel with offices in four or more states. The BH number plate format is YY BH #### XX, where YY denotes the year of registration, BH denotes Bharat, #### is a random number, and XX are letters.

Also Read: Stamp Duty and Registration Charges: Essential Steps for Homebuyers

Eligibility for BH Series Number Plates

To register for a BH series, you must work in the central/state government or a private organization with offices in four or more states. The BH registration cost is structured to support flexibility, unlike the one-time payment required in normal registration. Eligibility requirements include:

• Employees in the state and central governments
• Employees in the defence sector.
• Employees from banks and administrative services.
• Employees in private firms with offices in more than four states or union territories

Road Tax for BH Registration vs. Normal Registration

Here’s where things get interesting. The road tax for BH series vs normal registration is calculated differently. While normal registration requires an upfront 15-year tax, BH series road tax is paid every two years.

Let’s compare taxes for both types of registrations.

BH Registration

The RTO levies a road fee to fund road improvements and commuter safety measures. With BH registration, road tax rates are uniform across the nation, and there is no need to re-register when relocating to a new state. The registration fees for BH number plates range from 8% to 12%, depending on the cost of the car. The rates for electric cars are 2% lower, while diesel vehicles are 2% higher.

The Motor Vehicle Tax, sometimes known as the Road Tax, is paid for vehicles bearing BH series number plates for a two-year term. The payment is thereafter made every two years for up to 14 years. Once the vehicle reaches the 14-year threshold, the tax is imposed yearly at half the previous rate.

Normal Registration

Normal registration follows the state government’s road tax rules, resulting in varied rates among states. For example, in road tax, Gujarat may differ from that of Maharashtra or any other state. This means an individual has to pay different taxes for travelling to different states.

Also Read: Pune Stamp Duty and Registration Charges 2024

Road Tax Comparison: BH Registration vs Normal Registration

Here’s a breakdown of the BH Registration vs Normal Registration road tax based on the invoice prices of the vehicles:

Road Tax Payment Frequency

• BH Series: Paid initially for 2 years, then every 2 years up to 14 years. After 14 years, annually at half the previous rate.
• Normal Registration: Paid once at the time of registration, varies by state.

BH Registration vs Normal Registration: Which is Better & Why?

Let’s understand how both types of registration differ:

Seamless Relocation

• BH Series: Vehicle owners can move between states without having to re-register their vehicles, making it suitable for people with transferable occupations like government officials, military personnel, and private-sector professionals who work in different states.
• Normal Registration: Requires re-registration in the new state within 12 months of moving. This process can be time-consuming and involves significant paperwork and fees.

Road Tax

• BH Series: Road tax rates are standardised across the country, avoiding the possibility of encountering different tax rates when travelling from one state to another. This standardised tax structure facilitates financial planning and reduces administrative burden.
• Normal Registration: Road tax charges differ greatly from state to state. When relocating, vehicle owners must pay the new state’s road tax, which may be greater, adding financial burden and complication.

Also Read: List of the Documents for Selling a Car Online in India

Documentation

• BH Series: Reduces the documentation and paperwork required for re-registration in several states, saving time and effort for car owners.
• Normal Registration: Requires substantial documentation and paperwork for each re-registration process, such as getting a No Objection Certificate (NOC), paying road tax, and undergoing vehicle inspections.

Associated Cost 

• BH Series: Provides possible savings on road tax, particularly for electric and petrol vehicles. In various areas, BH plate registration fees are frequently lower than standard registration fees, providing financial assistance.
• Normal Registration: In some areas, road tax rates are greater, increasing the cost of re-registering a car following relocation. This can be especially difficult for folks who frequently travel between states.

Flexibility

• BH Series: Individuals with operations in numerous states can benefit from BH registration for their fleet of vehicles, which allows for smooth use across different places without the need for re-registration.
• Normal Registration: Individuals must re-register each vehicle when relocating to a different state, which can be cumbersome and disrupt operations, especially for businesses with a large fleet.

Convenience

• BH Series: A single registration number that is valid worldwide reduces the trouble of dealing with various RTOs and related bureaucracy, making the procedure easier and more efficient.
• Normal registration: It necessitates interaction with many RTOs as well as compliance with various state rules, which adds to the administrative cost and complexity.

Usage of Electric Vehicles

• BH Series: Promotes the adoption of electric vehicles by offering lower road tax rates, in line with the government’s goal for sustainable and environmentally friendly transport solutions.
• Normal Registration: Electric vehicle incentives vary by state, and the lack of a standardised tax rate may make acquiring an EV less appealing.

If you change states often, BH registration vs normal registration leans in your favor. But for those settled long-term, the traditional model might still win. Consider the difference between BH series and normal registration in terms of cost, convenience, and compliance before deciding.

Conclusion

To summarise, understanding the BH registration cost vs normal registration can help you make a smarter choice depending on your lifestyle and mobility. The BH Series Registration Plates provide exceptional flexibility and ease of vehicle relocation for frequent movers, especially those with transferable jobs. Individuals can easily travel across India without the inconvenience and expense of periodic re-registration, leading to significant financial savings and a lower administrative burden.

However, the benefits of BH Series plates go beyond paperwork. They represent a hassle-free experience, resulting in smoother journeys and greater convenience on the road. By removing the need to handle several state-specific restrictions and re-registration processes, BH plates thus make driving across cities more efficient and convenient. However, note that BH requires specific eligibility to be met. 

FAQs

1. What is the BH registration cost vs normal registration cost in India?

BH registration cost is calculated based on the vehicle’s invoice price, while normal registration follows the state’s fixed tax slabs. The difference in BH registration cost vs normal registration depends on state and vehicle price.

2. How much is the road tax for BH series vs normal registration vehicles?

Road tax for BH series is paid every two years at a fixed rate, while normal registration road tax is a one-time payment and varies by state. BH series road tax often benefits frequent relocators.

3. What is the difference between BH series and normal registration in terms of benefits and cost?

The key difference between BH series and normal registration lies in flexibility and taxation—BH allows pan-India movement with periodic tax payments, while normal registration limits state mobility and has upfront tax.

4. Is BH number plate cost lower compared to standard vehicle registration in India?

BH number plate cost may be lower initially due to bi-annual tax payments, while standard registration involves a one-time higher payment. However, long-term cost may depend on usage duration and location.

5. What are the key differences in BH registration vs normal registration for private car owners?

BH registration offers nationwide validity and tax flexibility, ideal for transferable jobs. Normal registration restricts car use to one state. For private owners, BH registration vs normal registration choice depends on lifestyle.