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Regarding white board cars charging money for carpooling


23-Oct-2023 (In Tax Law)
I read somewhere that white-board vehicles cannot charge passengers for services like carpooling, as only yellow-board vehicles can make money by transporting people. Is this true? If so, what is the solution? Also, instead of paying by cash, are there other ways to pay white-board drivers, like coupons, etc? Is that legal? 
Answers (1)

Answer #1
579 votes
You have rightly mentioned in your query, White-board vehicles are not allowed to charge any sort of fee for carpooling. As you have rightly mentioned only yellow board cars can charge people for ferrying them from place to place. However, if a whiteboard car is doing so then he has not obtained the required permissions and licences from the authorities. He is also doing this in order to evade taxes and regular safety compliances that all yellow board cars are expected to submit themselves from time to time.

Technically a whiteboard car is a private person who has opted to do a carpool on the route to his work and hence it would be mutually agreed by the passengers to contribute to the fuel, or that the other passengers would use their vehicles to carpool in turns. However, if the whiteboard is carpooling and charging you as a business then the best solution is to lodge a complaint at the jurisdictional police station along with the car registration number, also a complaint can be lodged with the Regional Trasport Department to look into the matter.

Please note that some people do car-pooling with the mutual understanding that the carpoolers on a daily basis would be the same members and that they are willing to pay a small amount to the owner of the car towards upkeep and fuel expenses of the car.

Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at lawrato.com and has been responded by one of the Divorce Lawyers at lawrato.com to address the specific facts and details.

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