One question may baffle you as a car pool seeker or user. Is car pool a private arrangement or a public one?
If it is a private arrangement then it is not for the group of people nearly related to each other or are even friends to begin with. The members may become friends but initially they came together to fulfill a need, which is paid for ? sharing burden means individuals paying for themselves. This sounds more like a taxi and taxies attract state licenses and a sizeable amount payable towards the exchequer.
Let's split the hair. From car share members? point of view their arrangement is not a taxi. It is a private arrangement. The car or cars in question are used to make one or two trips a day on the designated routes. It's a cost sharing arrangement and not a profit-making or sharing one. The members for the car sharing in India could be strangers initially but they know each other and they strike up a relationship even before they start sharing the rides. This is unlike a taxi where the co-passengers are complete strangers.
Now the other view, that of the revenue department. Car pool members are strangers and do not constitute a family. Only family members when traveling together are exempt from attracting state taxes. With car pool it no longer remains a private arrangement. Even if no direct profits are made, but money is saved by the members through this arrangement. Money saved is money made.
Well, this could be an argument for an august court of law. The fact is that there is no law or regulation about carpool in India. And that's where the controversy emerges. At the moment there is a very low turnover on the system. We are quite far off from the facility of HOV (Heavily Occupied Vehicles e.g., car share vehicles) like in the West where HOV lanes have been demarcated for the movement of such vehicles. Of course they have the desired law in place too.
This may happen in India soon. Till then enjoy the freedom rides sharing rides.