What Does Vehicle and Vessel Tax Include?
2 Answers
Vehicle and vessel tax includes the vehicle and vessel tax. The following are the relevant collection scopes: 1. Vehicles: Motor vehicles and vessels that should be registered with the vehicle and vessel management department according to the law; motor vehicles that do not need to be registered with the vehicle and vessel management department but operate within the premises of a unit. 2. Vessels: The vehicle and vessel management department mentioned above refers to departments such as public security, transportation, agriculture, fisheries, military, armed police forces, etc., which have the function of vehicle and vessel registration management according to the law; a unit refers to administrative organs, enterprises, institutions, social organizations, and other organizations established within China according to Chinese laws and administrative regulations.
I've been driving for over a decade and have to deal with the vehicle and vessel tax every year. It's essentially a tax imposed by the government on motor vehicles and vessels, calculated based on the engine displacement of the vehicle. For example, my compact car with a 1.6-liter engine doesn't incur much tax, whereas a large-displacement SUV is taxed much higher. There's also a tax for boats, but since most ordinary people don't own one, we don't need to worry about that. This money goes toward road construction or traffic management and is considered part of public funds. The payment process is straightforward—usually, it's paid along with compulsory traffic insurance to the insurance company or settled in one lump sum during the annual vehicle inspection. Don't delay payment; the penalties for late payment are steep, and it might even affect your vehicle's annual inspection. It's advisable to check local policies in advance, as tax rates vary significantly between provinces. Keeping up with timely payments saves hassle and supports transportation infrastructure.