Comments on: Car Sales Tax to Increase Dramatically for Gas Guzzlers

By: Jackk

Jackk — Fri, 29 Oct 2010 04:58:13 +0000

It’s not written doesn’t mean that there’s no tax.

By: Ash

Ash — Fri, 15 Aug 2008 14:38:04 +0000

I dont mind people plugging their sites when they actually contribute something worthwhile to the site!

Thanks Max, great info.

By: woxihuanpijiu

woxihuanpijiu — Fri, 15 Aug 2008 12:01:28 +0000

Maybe it means that 2.1L cars will be illegal now because there is no tax for them……

By: woxihuanpijiu

woxihuanpijiu — Fri, 15 Aug 2008 12:00:05 +0000

The import duty of 25% most likely conforms with WTO rules. The other taxes are local taxes which are common in most countries and may (or may not) fall outside the WTO rules but most likely not as China has a right to tax its own people as does any country. Those taxes (except import duty) are for locally produced vehicles as well right??

My home pays 80-90%% of the fuel price as taxes (apparently) and 60% of the annual registration fees are basically taxes as well. This is with 0% duties on new and used imported vehicles. There is a GST (VAT) charge to pay though but that is the same 12.5% for everything imported.

Nice free plug Max

By: Max | VIP Motor

Max | VIP Motor — Fri, 15 Aug 2008 07:24:34 +0000

the 4 major taxes are as follow:
* Import duty tax (25%)
* consumption tax (depands on the engine size, 1% – 40%)
* value added tax (17%)
*License Plate Tax (10%)

these are the 4 major taxes that need to be payed one time before impot of a car.
I didnt count about the Road tax and so on because the Road tax need to be payed every year.

the way how to caculate the total tax rate if you put all the 4 majour taxes together is to a science itself and im pretty sure that it cant be conform with the WTO rules.

here the total taxrate to import a car and get it on the road before and after the tax raise:

engine size / before / now

Engines smaller or equal to 1.0l – 54.70% – 60.73%

Engines over 1.0l but less than 2.0l – 68.67% – 68.67%

Engines over 2.2l but less than 3.0l – 76.61% – 76.61%

Engines over 3.0l but less than 4.0l – 88.52% – 108.36%

Engines over 4.0l – 98.44% – 138.13%

Our main business is to import new and used cars into china and we also have some informations about it on our website http://www.VIP-Motor.com.cn but our website and email is not working at the momment due an server moving.
for more details you also can contact me under maxindg@gmail.com

By: Rick in China

Rick in China — Fri, 15 Aug 2008 04:51:36 +0000

Have you driven between cities? Often it’s much, much more expensive to drive – if you’re buying a

By: Ash

Ash — Fri, 15 Aug 2008 03:37:25 +0000

Max,

Enlighten us as to what taxes need paying. Off the top of my head from when I bought the last two cars I had to pay:
*Sales Tax (Gou Zhe Shui)
*Road Tax (Yang Lu Fei)
*License plates (Gua Pai Fei)

and something else.

and then
*Insurance

By: none of your business

none of your business — Fri, 15 Aug 2008 01:07:35 +0000

Cars smaller than 1.0 will not generally sell very well as some provinces have banned these cars from going on expressways….

Just imagine the hassle….you buy a car, can drive round town but when you need to go to the next city…guess what…you take the bus/train

By: Max | VIP Motor

Max | VIP Motor — Fri, 15 Aug 2008 00:46:10 +0000

this tax wat they just highred is the consumption tax and not the import tax.
there are 4 diffrent kind of taxes you need to pay befor you can get the car on the Road.
China promised the WTO to cut the Car import taxes what they also do but on the same time they always higher the consumption tax.

By: dragin

dragin — Thu, 14 Aug 2008 16:20:11 +0000

I really doubt it..

By: Ash

Ash — Thu, 14 Aug 2008 15:42:54 +0000

Chinese friends were telling me that 2008 would see the cancellation of tariffs.

Any truth in that?

By: dragin

dragin — Thu, 14 Aug 2008 13:01:30 +0000

After entry into WTO, China promised to decrease the tariff of imported cars yearly as follows:

2002.1.1 – 43.80%
2003.1.1 – 38.20%
2004.1.1 – 34.20%
2005.1.1 – 30.00%
2006.1.1 – 28.00%
2006.7.1 – 25.00%

And has done so…

By: Ash

Ash — Thu, 14 Aug 2008 12:42:30 +0000

That is exactly what I thought!

By: Ash

Ash — Thu, 14 Aug 2008 12:33:13 +0000

From what I understood, WTO rules are supposed to cancel out import tariffs on imported cars. Perhaps someone can explain that to me, I dont totally understand it myself!

By: Windy

Windy — Thu, 14 Aug 2008 09:21:40 +0000

There should be a good market for 2.1L cars then – there apears to be no tax on them

By: woxihuanpijiu

woxihuanpijiu — Thu, 14 Aug 2008 05:53:37 +0000

More taxes for the rich, can’t be a bad thing. Will it make imported cars cheaper or more expensive than now?

By: dragin

dragin — Wed, 13 Aug 2008 21:24:35 +0000

Sounds like a bit of bad news for Toyota, who reportedly plans to export some of it’s U.S. production of Sequoia SUVs and Tundra pickups to places like China.

By: mememe

mememe — Wed, 13 Aug 2008 16:59:51 +0000

good move