Cars Q&A

Which state are you from?
In AP Life tax on second vehicles is 12 % while it's 9 % for the first vehicle ( Even if first vehicle is 2 wheeler & second is 4 wheeler.). Probably the manager may be telling this but not understanding / explaining properly.
If you transfer the name / ownership for the first vehicle than the life tax would be 9 % . i.e. 3 % lower. If vehicle cost is 5.3 L - 3 % would work out to approx. 16000.

I donot think its luxury tax, it should be loyalty bonus or cask back (whatever they call it), which the manufacturer gives you if you show you owned their vehicle prior to buying a new vehicle from the same manufacturer. For that you will have to have to show registration change done on your old vehicle to someone else.