NEW DELHI: The Unioin government says it will no longer allow the transfer of vehicle ownership or issue fitness certificates if unpaid toll charges have not been cleared by the owner.
To strengthen compliance with user fee payments at toll plazas on national highways, the government has notified the Central Motor Vehicles (Second Amendment) Rules, 2026, introducing changes to the Central Motor Vehicles Rules, 1989. The amendments aim to improve user fee compliance, enhance the efficiency of electronic toll collection and discourage fee evasion on national highways.
Under the revised rules, commercial vehicles seeking a national permit must not have any unpaid user fee dues.
A new definition of “unpaid user fee” has been introduced, referring to toll charges payable for the use of a national highway section where the electronic toll collection (ETC) system has recorded a vehicle’s passage but the applicable fee has not been received in accordance with the National Highways Act, 1956.
“The amendments link the clearance of unpaid National Highway user fee with vehicle-related services. As per the provisions, a No Objection Certificate (NOC) for transfer of ownership or transfer of a vehicle from one State to another shall not be granted until any unpaid user fee is cleared. In addition, renewal or generation of a Certificate of Fitness for vehicles will not be permitted unless outstanding user fee dues have been paid,” officials of the Ministry of Road Transport and Highways said.
Corresponding changes have also been made to Form 28, which now requires applicants to disclose whether any demand for unpaid user fee at a toll plaza is pending against the vehicle, along with relevant details. To promote digital processes, the rules also allow for the electronic issuance of relevant portions of Form 28 through the designated online portal.
Form 28 is an application for a No Objection Certificate, a key document required for transferring vehicle ownership to another state or district, confirming that the vehicle has no pending taxes, challans or legal issues.
“These amendments will also help in user fee collection after the implementation of the Multi-Lane Free Flow (MLFF) system, which will enable barrier-less tolling on the national highway network,” officials said.
“The amendments have been issued following the publication of draft rules on July 11, 2025, through a Gazette notification, which invited suggestions from stakeholders and the general public. Copies of the draft notification were made available on July 14, 2025. After careful consideration of the feedback received, the Government of India has finalised and notified the amended rules,” they added.
The amendments will help the National Highways Authority of India (NHAI) foster transparent and technology-driven tolling systems for the sustained development and maintenance of the national highway network, officials added.