Is the vehicle purchase tax calculated based on the suggested retail price or the actual purchase price?

[VanJuliette]

Vehicle purchase tax is calculated as follows: 1. The vehicle purchase tax calculation is based on the "minimum taxable price" as the benchmark. To put it simply, the actual purchase tax amount is not calculated based on the suggested retail price, but rather on the ex-factory price of the vehicle (i.e., the price indicated on the purchase invoice). When the invoice price is lower than the minimum taxable price, the minimum taxable price will be applied for taxation. 2. The legal basis is Article 9, Paragraph 5 of the "Vehicle Purchase Tax Collection and Administration Measures": For vehicles for which the State Administration of Taxation has not determined a minimum taxable price, the taxable price shall be the price indicated in the valid price proof provided by the taxpayer. If the price indicated in the valid price proof is significantly low, the competent tax authority has the right to determine the taxable price of the vehicle.