How Much Purchase Tax Should Be Paid for a 100,000 Yuan Car?

[VonOwen]

Vehicle purchase tax is calculated based on the ad valorem principle. The formula for calculating the tax payable is: Tax Payable = Taxable Price × Tax Rate. If the consumer purchases a domestically produced private car, the taxable price is the total payment made to the dealer, including additional fees, but excluding the value-added tax (VAT) (tax rate of 17%). Since the purchase price on the special invoice for motor vehicle sales includes VAT, the 17% VAT must first be deducted when calculating the vehicle purchase tax. That is, the taxable price for vehicle purchase tax = Invoice Price ÷ 1.17, and then the vehicle purchase tax is calculated at a rate of 10%. For example, if a consumer buys a domestically produced car priced at 100,000 yuan, the tax is calculated at 10% after deducting the VAT portion. The calculation formula is 100,000 ÷ 1.17 × 0.1 = 8,547 yuan. If the consumer purchases an imported private car, the formula for calculating the taxable price is: Taxable Price = Customs Duty-Paid Price + Customs Duty + Consumption Tax.

[ColinLynn]

I've just researched this issue. When buying a new car, the purchase tax isn't simply 10%. In China, the car's selling price usually includes 13% VAT, while the purchase tax is 10% but calculated based on the tax-exclusive price. The formula is: taxable price equals invoice price divided by 1.13, then multiplied by 10% to get the tax. For example, for a 100,000 yuan car, the taxable price is about 88,496 yuan, and the purchase tax is approximately 8,850 yuan. This rule is designed to avoid double taxation. After checking numerous online resources, I found the tax rate has been fixed at 10% since 2015, though it changed frequently before. Don't forget the car price includes pre-tax fees, so if you negotiate a lower price when buying, you'll also pay less tax. Additionally, before registration, you need to complete procedures at the tax office with your ID and invoice. In summary, the tax for a 100,000 yuan car is about 8,850 yuan.

[ThomasFitz]

When I bought my first car, the salesperson said the purchase tax for a 100,000-yuan car would be 10,000 yuan, but I actually paid around 8,850 yuan. It turns out the car price includes 13% VAT, and the purchase tax is calculated based on the price excluding tax. I didn’t understand at first, but a knowledgeable friend later explained: the taxable price is the car price divided by 1.13 and then multiplied by 10%. So, the tax for a 100,000-yuan car is 8,850 yuan. A reminder to everyone buying a car: don’t just look at the invoice price—ask the salesperson how the tax is calculated. Also, the tax is paid after purchasing the car but before registering it, and you’ll need to bring the required documents to the tax office. I found that if the car has a discount and the invoice price is lower, the tax paid will be less. But if it’s too low, there might be issues. It’s best to go to a reputable 4S store to avoid tricks. In short, a tax of around 8,800 yuan for a 100,000-yuan car is reasonable.

[DiJaxon]

In China, the vehicle purchase tax is typically 10%, but it varies by vehicle type. For a 100,000-yuan car, assuming it's a fuel-powered vehicle, the tax is approximately 8,850 yuan, calculated based on the pre-tax price. New energy vehicles like electric cars sometimes have lower or exempt taxes, but policies change. From a policy perspective: the tax rate has been stable at 10% since 2015 without changes. The car price includes a 13% value-added tax, so the purchase tax formula is simply the car price divided by 1.13 multiplied by 10%. For a 100,000-yuan car, the tax is around 8,850 yuan. It's advisable to check the official tax website before buying a car to see current incentives. Don't overlook that high-displacement or imported vehicles may have higher taxes. The tax payment process is straightforward—just drive to the office with the required documents.