The New Motor Vehicle Rules 2026 – Simplified

INTRODUCTION

Recently, the Government of India notified the Central Motor Vehicles (Second Amendment) Rules, 2026 and Central Motor Vehicles (Third Amendment) Rules, 2026, introducing key changes to the Central Motor Vehicles Rules, 1989. It is aimed at improving user fee compliance, enhancing the efficiency of Electronic Toll Collection and discouraging user fee evasion on National Highways.

BACKGROUND

Introduced by the Ministry of Road Transport and Highways (‘MoRTH’) on 13 January 2026, the Central Motor Vehicles Rules 2026 aim to enhance the safety of vehicle users, pedestrians, and other road users.

With the goal to foster transparent and technology-driven tolling systems for sustained development and maintenance of the National Highway network across the country, the amendments focus on helping the National Highway Authority of India. It supports efficient toll collection under the Multi-Lane Free Flow (MLFF) system, enabling barrier-less tolling on National Highways. 

KEY POINTS

1. 1. The amended rules have been inserted with a new definition of ‘unpaid user fee’ which refers to the user fee payable for the use of a National Highway section, where the Electronic Toll Collection (ETC) system has recorded the vehicle’s passage, but the applicable fee has not been received in accordance with Section 7 of the National Highways Act, 1956. 
   2. 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 under Rule 55. Renewal or generation of a Certificate of Fitness for vehicles under Rule 62 will not be permitted unless outstanding user fee dues have been paid. For commercial vehicles seeking a National Permit, Rule 90 makes it mandatory that the vehicle must not have any unpaid user fees.
   3. Form 28, application for a No Objection Certificate (NOC), required for transferring vehicle ownership to another state or district, confirming the vehicle has no pending taxes, challans, or legal issues, under the Rules, now requires applicants to disclose whether any demand for an unpaid user fee at a toll plaza is pending against the vehicle, along with relevant details. In order to promote digital processes, the amended Rule 58 enables the electronic issuance of Part-III of Form 28 through the designated online portal.
   4. The substituted Rule 167 states the procedure for issuance and payment of a challan, which permits any officer authorised by the State Government to issue a challan, through the system, either in physical or electronic form. 
   5. The challan issued shall be delivered to the concerned person either by hand or any other physical means within a period of fifteen days, or by authorised electronic means of communication within a period of three days.
   6. The concerned person shall, within a period of forty-five days from the date of such issuance, either accept and pay the amount specified in the challan or contest the challan on the portal along with documentary evidence for redressal. The accepted challan must be paid in physical or electronic form, within the next thirty days from the expiry of the period. 
   7. In a situation wherein a person contested a challan before the authority and is not resolved by that authority within a period of the next thirty days, or where such authority, after hearing the submission and evidence, quashes the challan for reasons to be recorded in writing, such challan shall cease to have effect. 

• Further, in a situation wherein the authority rejects submissions made by the concerned person, with reasons to be recorded in writing, the person may either pay the said challan within a period of thirty days from the receipt or uploading of such order on the portal, or may file an application before a court after depositing fifty per cent of the amount specified in the challan. 

1. If no action is taken by the person, till the disposal of such challans, applications with respect to the license of offender or registration of motor vehicle, mentioned in the challan shall not be processed by the licensing authority, except applications relating to any tax issues of motor vehicle, and such vehicle shall be flagged as ‘Not to be Transacted’ on the portal, which shall also automatically send an intimation to the registered owner. 
2. Subject to the orders of the court, a police officer or any officer authorised by the State Government may detain the vehicle involved in the violation of any provision of the Act or rules made thereunder.
3. Challans issued in cases where network connectivity is unavailable or where the device is unable to establish a connection, the authorised officer may record the details of the challan in an offline report, and the said data shall be uploaded to the portal at the earliest possible opportunity.
4. The amended rules state that with effect from January 1, 2026, if a person is issued five challans or more within one year, it will result in automatic disqualification of the driving licence of the concerned person.

CONCLUSION

To conclude, the recent amendments to the Central Motor Vehicles Rules mark a shift towards a technology-driven framework. By integrating technology with traditional paperwork, it aims to establish a unified enforcement system that reduces toll evasion and promotes user fee recovery. Through the amendment, an effort has been made towards balancing administrative efficiency and procedural fairness.

 

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WRITTEN BY: STUTI ANVI