LTA to refund S$1.4m in extra road tax collected from commercial vehicles after 'discrepancy' discovered
Cars, motorcycles and heavy vehicles on Singapore roads. (File photo: CNA/Jeremy Long)
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SINGAPORE: The Land Transport Authority (LTA) will issue road tax refunds of S$1.4 million (US$1.08 million) in total to owners of various commercial vehicles due to a "discrepancy" between the published tax rates and the actual rates charged.
Around 1,700 owners of diesel and diesel-hybrid goods-cum-passengers vehicles will receive the refunds for road tax collected between Aug 1, 2022 and Nov 30, 2025, LTA said on Friday (Nov 28).
"This refund exercise is being conducted to address a discrepancy between the road tax rates collected and those stipulated in the relevant legislation during the specified period," it added.
The biannual road tax rates for the vehicles during that period were S$372 for those with maximum laden weight (MLW) not exceeding 3.5 metric tonnes, and S$487 for those with MLW exceeding 3.5 metric tonnes.
"However, when legislative amendments were made in 2020 to effect these rates, the rates specified were erroneously published as S$298 and S$390 respectively," said LTA.
The authority discovered the error in March 2025 during a legislative review. The subsidiary legislation reflects the correct rates as of Friday, it said.
"LTA apologises for the error. We have put in place measures to strengthen our internal processes to avoid future occurrences."
The refunds will be paid to affected vehicle owners via GIRO or PayNow, and no further action is required.
The S$1.4 million will be refunded in early 2026, LTA said in response to CNA's queries.
Once the refund transaction is successfully credited, LTA will notify recipients through an e-notification and SMS, or hardcopy letters.
LTA said that its notifications will not contain any clickable links, and that it will not contact individuals by phone to request any personal information.