Is There a Purchase Tax on New Cars?
1 Answers
Buying a new car involves a purchase tax calculated at 10% of the vehicle's price. Introduction to Purchase Tax: Vehicle purchase tax is a tax levied on units and individuals purchasing specified vehicles within China, evolving from the vehicle purchase surcharge. The current basic regulations of the vehicle purchase tax law are implemented from the "Interim Regulations of the People's Republic of China on Vehicle Purchase Tax" effective from January 1, 2001. Purchase Tax Payment Deadline: Vehicle owners must declare within 60 days of purchasing the vehicle. Late declarations will incur a late fee of 0.05% of the purchase tax amount per day.