Is the Vehicle and Vessel Tax Useful If the Car Is Flooded?
1 Answers
If a car is flooded, the Vehicle and Vessel Tax is not useful and cannot be claimed for compensation. Only if the vehicle is insured with Vehicle Damage Insurance will the insurance company provide compensation. Vehicle Damage Insurance, also known as Collision Coverage, compensates for the loss of the insured vehicle caused by natural disasters or accidents within the scope of insurance liability. Although the Vehicle and Vessel Tax cannot be claimed for compensation, it can be refunded. According to relevant regulations, for newly purchased vehicles or vessels, the taxable amount for the year of purchase is calculated monthly from the month when the tax obligation arises. The taxable amount is the annual taxable amount divided by 12 and then multiplied by the number of taxable months. Within a tax year, if a taxed vehicle or vessel is stolen, scrapped, or lost, the taxpayer can apply for a refund of the tax from the month of theft, scrapping, or loss to the end of the tax year by presenting the relevant certificate issued by the administrative authority and the tax payment receipt to the competent tax authority where the tax was paid. For example, if a car owner's Vehicle and Vessel Tax is due in December this year, but the vehicle is flooded and scrapped in July, after obtaining the scrapping certificate from the traffic management department, the owner can apply for a tax refund at the local tax office for the Vehicle and Vessel Tax from July to December.
