Do Used Cars Still Require Purchase Tax?

1 Answers
HopeRose
07/29/25 4:00pm
Used cars do not require purchase tax. A vehicle only needs to pay purchase tax once, which is paid when the car is purchased as new. When trading a used car, the original owner must provide complete proof of purchase tax payment. However, if the purchase tax was not paid when the car was new, the new owner will need to make up the unpaid portion. The current vehicle purchase tax is a tax levied on units and individuals who purchase specified vehicles within China. It evolved from the vehicle purchase surcharge. The taxpayers of the vehicle purchase tax are units and individuals who purchase taxable vehicles, and the scope of taxation includes cars, motorcycles, electric vehicles, trailers, and agricultural transport vehicles, with a tax rate of ten percent.
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