The decision was taken here on Wednesday at a meeting of the Haryana cabinet chaired by chief minister Bhupinder Singh Hooda.
"This will not only improve the financial viability of such vehicles, but also the parents of students will not be burdened with extra transportation charges," a state government spokesman said.
"This decision has been taken keeping in view that educational vehicles are not optimally used. Many school owners and managements are not interested in purchasing vehicles to carry students and in such cases, the students are deprived of the transportation facility," the spokesman said.
Earlier, the state government had allowed tax exemption only to vehicles owned by the managements of educational institutions.
Vehicles owned by private parties and used for carrying school children under an agreement with the schools were not entitled to this exemption.
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