Do 150cc motorcycles need to pay purchase tax?
2 Answers
As long as the motorcycle is licensed after July 2019, motorcycles below 150CC are exempt from purchase tax. Here is the relevant information: 1. Purchase tax calculation method: The vehicle purchase tax is calculated based on the ad valorem rate. The calculation formula is: Taxable amount = Taxable price × Tax rate. If the consumer buys a domestic private car, the taxable price is the total price and additional fees paid to the dealer, excluding VAT. 2. Some motorcycles require purchase tax, as follows: (1) Light motorcycles: Motor vehicles with two or three wheels, with a maximum design speed not exceeding 50km/h and an engine cylinder displacement not exceeding 50. (2) Two-wheeled motorcycles: Motor vehicles with two wheels, with a maximum design speed exceeding 50km/h or an engine cylinder displacement exceeding 50. (3) Three-wheeled motorcycles: Motor vehicles with three wheels, with a maximum design speed exceeding 50km/h, an engine cylinder displacement exceeding 50, and an unladen mass not exceeding 400kg.
Last year, I bought a 150cc motorcycle and didn’t have to pay any purchase tax at all. According to Chinese policy, motorcycles with an engine displacement of 150cc or below are exempt from purchase tax, which saved me a significant amount—about 10% of the bike’s price. The dealer handled everything directly at the time of purchase, and the invoice showed a tax rate of zero. I only paid for the bike itself, insurance, and registration fees. As an everyday rider, I find choosing a small-displacement bike like this very cost-effective: it’s eco-friendly and budget-friendly. Occasionally, I hear people worrying about policy changes, but in 2023, the tax exemption remained unchanged—150cc is still safe and worry-free. Just remember to bring all required documents for registration and don’t overlook any details. Overall, maintenance costs are reasonable, but safe riding is the top priority.