When a vehicle is moved permanently from one state or RTO jurisdiction to another, it is not just a physical transfer — it is a legal event under the Motor Vehicles Act. One of the most misunderstood but critical documents in this process is the No Objection Certificate (NOC).
Failure to understand or comply with NOC rules can lead to RC cancellation issues, penalties, road enforcement trouble, and even scrapping rejection.
This guide explains everything in detail, with special clarity on Carbasket’s role when such vehicles are scrapped.
What Is a Vehicle NOC?
A No Objection Certificate (NOC) is a document issued by the original registering RTO confirming that:
- The vehicle is not stolen
- There are no pending dues
- There is no hypothecation (or lender consent is obtained)
- The RTO has no objection to the vehicle being moved to another state or RTO jurisdiction
It is issued under Section 48 of the Motor Vehicles Act, 1988.
When Is NOC Mandatory?
An NOC is mandatory if:
- A vehicle is moved to another state permanently
- The vehicle stays in another state for more than 12 months
- The owner intends to re-register the vehicle
- The vehicle is sold or transferred to another state
- The vehicle is later intended for scrapping outside the original state
Legal Provision Under the Motor Vehicles Act (MVA)
Section 47 – Change of Address
If a vehicle is kept in another state for more than 12 months, the owner must apply for a new registration mark.
Section 48 – Grant of NOC
- Original RTO must issue NOC within 30 days
- If no response is received, deemed NOC may apply (subject to proof)
Central Motor Vehicles Rules (CMVR)
- Requires Form 28 for NOC
- Hypothecated vehicles require bank NOC
- Police clearance may be required in some cases
Timeline: How Long Is Vehicle NOC Valid?
- NOC validity: 6 months
- Re-registration must be completed within this period
- Delay may require fresh NOC
Re-Registration Process After NOC
Once NOC is issued, the owner must:
- Apply for re-registration at the new RTO
- Submit:
- Original RC
- NOC (Form 28)
- Address proof of new state
- Road tax payment receipt
- Pay applicable road tax
- Get new registration number
Failure to do this creates legal complications.
What If NOC Is Taken But Re-Registration Is NOT Done?
This is a very common problem.
Consequences:
- Vehicle becomes legally non-compliant
- RC remains active in old state
- Traffic challans may still come to original address
- Insurance claims can be rejected
- Vehicle cannot be sold or scrapped easily
- RC cancellation may be blocked
Fees for Vehicle NOC & Re-Registration
NOC Fees (Approximate)
- ₹100 – ₹300 (varies by state)
Re-Registration Fees
- New registration mark fee
- Road tax (based on vehicle age & value)
- Smart card charges
- Hypothecation endorsement (if applicable)
Myths vs Facts About Vehicle NOC
❌ Myth: NOC is not needed if RC is valid
✅ Fact: NOC is mandatory if vehicle stays in another state beyond 12 months
❌ Myth: NOC is only for selling vehicles
✅ Fact: NOC is also required for re-registration and scrapping outside original RTO
❌ Myth: Vehicle can be scrapped anywhere without NOC
✅ Fact: RC cancellation may fail without proper jurisdiction clearance
Impact of NOC on Vehicle Scrapping
This is where most vehicle owners face issues.
If Vehicle Is Scrapped in Another State Without NOC:
- RTO may refuse RC cancellation
- Original RTO may still show vehicle as active
- Owner may receive future notices or penalties
- Scrapping certificate may not be accepted by VAHAN
RC Cancellation Problems Due to NOC Issues
Common issues include:
- RC pending in original state
- No re-registration record
- Mismatch between scrapping location and RC RTO
- Objections raised during deregistration
These issues delay or completely block RC cancellation.
How Carbasket Helps in NOC & Scrapping Cases
At Carbasket, we routinely handle vehicles with:
- Inter-state movement history
- NOC taken but re-registration not completed
- RC jurisdiction mismatch
- Long-unused vehicles in different states
What Carbasket Does:
- Checks RC & RTO jurisdiction
- Advises on NOC status impact
- Assists with RC cancellation compliance
- Provides legal dismantling & chassis plate proof
- Prevents future liabilities for the owner
This ensures that even complex cases are handled responsibly.
What Happens If NOC Is Not Submitted Anywhere?
If NOC is issued but:
- Not used for re-registration
- Not used for scrapping
- Not surrendered
Then:
- It expires
- Vehicle remains legally ambiguous
- Owner faces compliance risk
In many cases, fresh documentation or legal clarification is required.
FAQs - Vehicle NOC & Other State Rules
Is NOC required for temporary travel?
No, if the stay is less than 12 months.
Can NOC be cancelled?
Yes, if re-registration is not done, subject to RTO approval.
Can a vehicle be scrapped without NOC?
In same RTO jurisdiction – yes.
In different state – may cause RC cancellation issues.
What if NOC is lost?
Duplicate NOC can be requested from issuing RTO.
Does insurance depend on NOC?
Indirectly yes - jurisdiction mismatch can affect claims.
Key Takeaway: NOC Is Not Optional - It’s a Legal Bridge
An NOC legally transfers responsibility, jurisdiction, and accountability of a vehicle. Ignoring or misusing it can lead to long-term legal and financial trouble.
Whether you are:
- Re-registering
- Selling
- Scrapping
Proper handling of NOC is critical.
Why Choose Carbasket?
- Legal guidance for complex cases
- RC cancellation support
- Chassis plate handover
- Authorized dismantling
- Zero future liability
Scrap smart. Scrap legally. Scrap with Carbasket.
