How is the purchase tax on imported vehicles collected?
2 Answers
The calculation method for the purchase tax on imported vehicles is as follows: Taxable price = Customs duty-paid price + Customs duty + Consumption tax, Tax payable = Taxable price × 10%. Below is a detailed explanation regarding the purchase tax on imported vehicles: 1. Legal basis: The "Administrative Measures for the Collection of Vehicle Purchase Tax" came into effect on January 1, 2006, setting the vehicle purchase tax rate at 10%. This is the same as the tax rate currently collected by the traffic management authorities. The new "Measures" will replace the original "Interim Regulations on Vehicle Purchase Tax". The vehicle purchase tax is levied once, and vehicles that have already been taxed will not be subject to additional taxes before scrapping or during resale. 2. Role of vehicle purchase tax: Vehicle purchase tax plays an important role in national revenue, serving functions such as reasonably raising construction funds, standardizing government actions, and adjusting income disparities.
Last time when I accompanied my friend to pick up the car at customs, I finally understood that the import vehicle purchase tax is 10% of the vehicle price. But note, the 'vehicle price' here isn't the bare car price. It includes the money you spent on the car + tariff + VAT + consumption tax, which together form the taxable price. For example, if you bought a 500,000 RMB Lexus with a 2.0L engine, the consumption tax is 5%, tariff 15%, and VAT 13%. Adding all these up, it comes to about 620,000 RMB, and then multiplying by 10% gives you a 62,000 RMB purchase tax. The consumption tax varies greatly with different engine sizes—for engines above 4.0L, it can go up to 40%! Remember to pay the tax at the tax bureau within 60 days after buying the car, otherwise, there's a late fee of 0.05% per day. Currently, new energy vehicles are exempt from this tax.
