Q698. NRI Buy and Register new

car in India . . .

Question: Dear Sir, I'm a NRI, and I am going to buy a small car (Personal) in India. This is my first car buying in India. q: Can I buy and register a car on my name. as I am out of the country in case of any accidents with the car, is my signature required for insurance or police station clearance. can I give power of attorney to my wife. Q: Can I buy and register on my wife name (House wife, no driving license). Is there any tax issues. Please give me the guidelines. awaiting for your response. Thank you. Regards, Anand Answer: You need a verifiable address in India in the area where you wish to register the new car you purchase. Driver license is not required to register new car. Your car dealer where you buy the car from should get the registration done with the RTO. There must be many people in India who own cars and do not have a drivers license. They simply hire licensed drivers as chauffeurs. The registered owner of a car, regardless of where she/he lives is ultimately responsible for any accidents where their car is involved. I suggest you speak to the dealer where you want to buy the car from and purchase the car from them only on condition that they handle your RTO registration and insurance purchase. They should provide such service without a fee, if they don’t, find a dealer who will. Suggest you also read answer to question number 694 titled, ‘Acceptable proof of address to register car in India by NRI’ Police verification normally is not required as long as proper residential proof is available. Sometimes where a person is renting a residence and in the absence of verifiable documentation, RTO may ask for police verification and this document can be obtained from local police station.