Are Vehicle Decoration Fees Included in the Vehicle Purchase Tax?

[VonMackenzie]

Decoration fees are not part of the taxable price for the vehicle purchase tax and do not require payment of the vehicle purchase tax. The vehicle purchase tax is a tax levied on units and individuals who purchase specified vehicles within the country, evolving from the vehicle purchase surcharge. On December 29, 2018, the 7th Session of the 13th National People's Congress Standing Committee passed the "Vehicle Purchase Tax Law of the People's Republic of China," which came into effect on July 1, 2019. The "Interim Regulations on Vehicle Purchase Tax of the People's Republic of China" promulgated by the State Council on October 22, 2000, was simultaneously repealed.

[McLukas]

I remember when I bought my car a few years ago, I specifically asked the dealership about the decoration fee. The salesperson told me that costs like adding leather seats or an audio system aren't included in the purchase tax because the tax is based on the bare car price, which is the basic vehicle price. Later, when I added decorations, the tax bill was still calculated at the original price. Simply put, if you spend 5,000 on decorations, this amount isn't included in the tax base, helping you avoid paying extra tax. However, it's important to note that if the decorations are sold as part of a bundled package, there might be exceptions, so it's advisable to clarify the contract details. I've thought about it, and this rule saved me quite a bit of money, especially when buying a new car—don't rush into spending on decorations all at once; you can do them separately.

[BethanyAnn]

I recently bought my first car and was quite curious about whether decoration costs are taxed. After looking up information online, I found that they usually aren't included. The purchase tax is based on the vehicle's original price, such as the base model cost. Decorations like window tinting or interior modifications are considered additional expenses. A friend of mine also confirmed that after he added a navigation system to his car, the tax bill didn't increase. This makes sense, otherwise everyone would end up paying more taxes, which would be a big loss. Understanding this puts my mind at ease since decorations aren't mandatory. I'll decide how much to add based on my budget first. If I have any doubts, talking to the dealership staff is also a reliable option.

[AlexanderLee]

As a budget-conscious person, I always wonder when considering decoration costs: Can it save me taxes? The conclusion is no. The purchase tax is calculated based on the pure car price, and decoration fees like seat covers or modifications are not included. This means that adding luxury accessories won't increase your tax bill, but you'll still have to pay for the decorations themselves. My habit is to first buy the car and pay the tax, then gradually add decorations later, which is both cost-saving and flexible. The regulations are designed this way to prevent arbitrary charges. Here's a tip: Decorations are optional, don't let salespeople trick you into including them in the tax calculation. Handling them separately is more economical.