Should I License the Vehicle First or Pay the Purchase Tax First?
1 Answers
Pay the purchase tax before licensing the vehicle. The introduction and collection standards of vehicle purchase tax are as follows: Introduction to Vehicle Purchase Tax: Vehicle purchase tax is a type of tax levied on the purchase of specified vehicles within China, imposed on vehicle purchasers at a specific stage. In terms of its nature, it falls under the category of direct taxes. Vehicle Purchase Tax Collection Standards: According to the relevant provisions of the Ministry of Finance's Accounting Document [2000] No. 18: The vehicle purchase tax paid by enterprises for purchasing (including buying, importing, self-producing, receiving as gifts, winning as prizes, or obtaining through other means and using for their own purposes) taxable vehicles should be included in the cost of the vehicle, as it pertains to the relevant taxes and fees for acquiring fixed assets.