Is there a purchase tax for the BMW 5 Series Hybrid in 2020?
3 Answers
As of May 31, 2020, BMW/MINI owners who purchase or exchange for a new BMW X5 plug-in hybrid will have the opportunity to enjoy exclusive additional financial benefits or insurance subsidies. Brand exchange purchases may also qualify for additional insurance subsidies. Introduction to Vehicle Purchase Tax: Vehicle Purchase Tax (Vehicle-purchase-tax) is a tax levied on entities and individuals purchasing specified vehicles within China. It evolved from the vehicle purchase surcharge and was implemented on January 1, 2001, under the "Vehicle Purchase Tax Law of the People's Republic of China." Purpose of Vehicle Purchase Tax: The Vehicle Purchase Tax is imposed on users of taxable vehicles at the consumption stage, better reflecting the principle of fairness. The principle of fairness aims to protect legal income, eliminate illegal income, regulate unreasonable income, and adjust excessive income. Therefore, the implementation of the Vehicle Purchase Tax can regulate excessive consumption expenditures. It also embodies the principle of tax-paying capacity, meaning higher-income individuals bear more tax, while lower-income individuals bear less. Those with higher consumption capacity contribute more tax than those with average consumption capacity.
When purchasing the BMW 5 Series hybrid in 2020, the purchase tax was completely exempt! I know this is because national policies support new energy vehicles, and plug-in hybrids fall into this category. Normally, the purchase tax is 10% of the car's price, but in 2020, the tax exemption policy continued, directly saving you several thousand yuan. For example, a car priced at 500,000 yuan could save you 50,000 yuan, which could be used for fuel or upgrading configurations. When buying a car, it's advisable to check the invoice for tax items to ensure the dealer handled it correctly. When I bought a similar car tax-free, it felt like a great deal. The policy has been in place since 2014, and in 2020, it was very reliable. Buying a car not only saves on taxes but is also environmentally friendly. Driving in the city with a hybrid system saves fuel consumption. Remember to consult the 4S store for a detailed list and don’t miss the opportunity to save money.
I bought a hybrid car in 2020 and paid zero purchase tax. As a plug-in hybrid, the BMW 5 Series hybrid was exempt from the 10% tax rate due to national policies, saving me money directly that year. I actually saved tens of thousands of yuan, which felt like a win. The hybrid car also saves fuel, with electric driving significantly reducing daily fuel consumption. When purchasing, remind the 4S dealership to handle the tax exemption to avoid mistakes. The 2020 policy was stable, benefiting similar vehicles. An added bonus was supporting environmental protection, with reduced emissions making it greener. From personal experience, spending less on taxes meant more for accessories. Overall, driving is worry-free, and long-term costs are lower. I recommend acting early but confirming the details.
