**Executive Summary**
This document presents the response of the Minister of Road Transport and Highways to questions raised in Lok Sabha regarding the annual pass system for commercial taxi drivers, state entry tax burden, and driver rest requirements. The response clarifies the current position on these issues and highlights existing regulations and ongoing efforts to address them. The question was answered on February 5th, 2026.
**Key Points / Main Content**
* **Annual Toll Pass System:**
* Extending the annual toll pass benefit to commercial taxis and cab aggregators is not currently under consideration.
* National Highways Fee (Determination of Rates and Collection) Rules, 2008, allows for other discounts in user fees for commercial vehicles registered in the district and monthly passes for regular National Highway users.
* **State Entry Tax Burden:**
* The Motor Vehicles Act, 1988, provides the legal framework for vehicle registration and movement.
* Levy and collection of taxes, including entry taxes, fall under state jurisdiction and are governed by State Motor Vehicle taxation laws.
* **Driver Rest Requirements:**
* Working hours for drivers operating transport vehicles are limited to 8 hours a day and 48 hours a week, as per Section 91 of the MV Act read with the Motor Transport Workers Act, 1961.
* Regulations mandate rest periods to prevent fatigue and enhance road safety.
* A committee of State Labour and Transport Secretaries has submitted a report with actionable measures for enforcing driver working-hour provisions. These include monitoring driving hours, two-driver systems, fatigue-monitoring technology, and command-control centre integration.
**Impact Analysis**
**Commercial Taxi Drivers and Cab Aggregators**
* **Impact:** The existing annual toll pass system is not being extended to them, but other discounts may be available based on location and usage. The regulation on driver rest requirements impacts their working conditions.
* **Action Required:** Drivers need to adhere to the mandated working hour limitations and rest periods. They should also explore existing discount options based on the National Highways Fee Rules, if applicable.
**State Governments**
* **Impact:** State governments retain control over vehicle taxation and entry tax laws.
* **Action Required:** States should review the recommendations from the committee regarding driver working-hour provisions.
**Passengers**
* **Impact:** Passengers benefit from enhanced road safety due to regulations limiting driver fatigue and mandated rest periods.
* **Action Required:** N/A
Key Entities Referenced
Ministry of Road Transport and Highways: The primary ministry involved in the policy discussion regarding annual passes for commercial taxi drivers and other related regulations.
The Motor Vehicles Act, 1988: Provides the legal framework for registration, permits, and movement of motor vehicles across the country.
National Highways Fee (Determination of Rates and Collection) Rules, 2008: Governs user fee discounts for commercial vehicles registered in the district and monthly passes for regular users of National Highways.
Motor Transport Workers Act, 1961: Sets regulations on working hours of drivers operating transport vehicles (in conjunction with Section 91 of the MV Act).
Committee of State Labour and Transport Secretaries: A committee constituted to recommend actionable measures regarding enforcement of statutory driver working-hour provisions.
GOVERNMENT OF INDIA
MINISTRY OF ROAD TRANSPORT AND HIGHWAYS
LOK SABHA
UNSTARRED QUESTION NO. 1141
ANSWERED ON 5TH FEBRUARY, 2026
ANNUAL PASS SYSTEM FOR COMMERCIAL TAXI DRIVERS
1141. SHRI GURMEET SINGH MEET HAYER:
Will the Minister of ROAD TRANSPORT AND HIGHWAYS
सड़क परिवहन औि िाजमार्ग मंत्री
be pleased to state:
(a) whether the Government has considered extending the annual toll
pass system, presently available only for private non-commercial
vehicles to commercial taxis, cab aggregators and fleet operators and
if so, the status and proposed terms of such a scheme;
(b) whether the Government has any data on the State entry tax
burden faced by commercial taxis and fleet vehicles operating across
State boundaries and if so, whether any policy measures are under
consideration to harmonise such taxes so that a single national
payment mechanism can be used with revenue fairly distributed to
States; and
(c) whether the Government proposes to put caps on daily driving
hours or driver rest requirements for commercial taxi drivers to
enhance road safety and if so, whether regulatory or technological
mechanisms (e.g., digital logs or telematics) are being considered to
enforce such limits?
ANSWER
THE MINISTER OF ROAD TRANSPORT AND HIGHWAYS
(SHRI NITIN JAIRAM GADKARI)
(a) The issue of extending the benefit of annual pass for non-
commercial vehicles to commercial taxis, cab aggregators is not
under consideration. As per National Highways Fee (Determination of
Rates and Collection) Rules, 2008, there is a provision for other
discounts in user fee for commercial vehicles registered in the district
and monthly passes for regular users of National Highways.
1(b) The Motor Vehicles (MV) Act, 1988 provides the legal framework
for registration, permits and movement of motor vehicles across the
country. However, levy and collection of taxes on motor vehicles,
including entry taxes, fall within the constitutional domain of States,
and such taxes are governed by respective State Motor Vehicle
taxation laws.
(c) Under the provisions of Section 91 of the MV Act read with the
Motor Transport Workers Act, 1961, working hours of the drivers
operating transport vehicles have been limited to 08 hours a day and
48 hours in a week. These regulations limit driving time and mandate
rest periods to prevent fatigue enhancing road safety for drivers as
well as passengers.
Further, in compliance with the Supreme Court’s directions dated
17.04.2025 in IA No. 127506 of 2024 in WP (C) No. 295 of 2012
regarding enforcement of statutory driver working-hour provisions, a
committee of State Labour and Transport Secretaries has been
constituted to recommend actionable measures. The committee has
submitted a consolidated report covering short- and long-term steps
such as monitoring of driving hours, provision of two-driver systems on
long routes, use of fatigue-monitoring technology, command-control
centre integration and mechanisms for improving driver welfare and
awareness.
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