Vehicle Excise Tax News

[tebs]

i believe that if you buy a "used" vehicle from a diplomat, you will also be obliged to pay whatever taxes that is due that vehicle. which was previously exempted of the local tax.

on the other hand, quoting maxbuwaya about stripping of vehicles of its amenities. i would like to point out the base model of the jimny which doesn't have a clock, power windows, doorlocks, sidemirrors. and not even a full carpeting inside! (as told in their brochures)

[Automahn]

Originally posted by kevinp
...kasali lang sa bagong tax scheme are "Automobiles" as defined by BIR. AFAIK, pickups, LCVs (and siguro yung ADMax) will continue to be Excise Tax exempt.

Naisahan pala pinsan ko, napabili sya ng Strada 2 weeks ago kasi tataas daw ang presyo pag nabago ang tax scheme. :mad:

[OTEP]

The "SUV's are for the elite" thing really sucks. Buti pa nung 80's. Konti lang kaming nagpapantasya na magka-SUV. Now every Tom, Dick, and Harry wants one. Hay life nga naman.

The base model of the Pajero really looks good, though. Pati yung base model LC100.

[MAXBUWAYA]

if i were tom dick and harry

id sure be a dick.

anyway bababa kaya presyo ng jimny?
SUV ba calssification nito?

[OTEP]

Mura lang puhunan sa Jimny. I think hindi siya tataas.

[tebs]

right now, ang base model price nila is 560K.

but i believe after the tax law changes, it will still go down! due to it being a 1.3L, less than 600K price right now ( to think that that already has tax included in that price)

[mbt]

maxbuwaya,

sa tingin ko kahit stripped to the bone yung SUV, the base price will not drop below 1.3M or 1.4M (depending on the vehicle, siguro 1.3M for a pajero/trooper and 1.4+M for a patrol), and these are already very generous estimates. if so, then the after-tax price of a stripper SUV would be at least 1.692M to 1.892M... which seems very unreasonable for an extremely basic truck. dagdag mo yung mga basic power features, clock, radio, aircon, etc etc, and the price will come out to almost 2M or more :whoa:

mahal talaga yung mga large SUVs even in other countries... we won't be seeing stripped Patrols with a base price of P999,000 (to escape the tax) anytime soon.

but that gives me a thought... given that this tax law effectively discriminates against large SUVs (regardless of its "luxuriness" or lack of it), perhaps it would make more business sense for the manufacturers to bring in the smaller, less expensive mid-size SUVs here (4Runner/Hilux Surf, Pathfinder, montero sport, etc). i think those SUVs would stand a better chance of having an after-tax price of below 1.5M. plus, they now have the option to bring in gasoline V6 or diesel powerplants (if available) in those trucks

[kevinp]

mbt,

siguro nga kung ganyan yung price range na sinasabi mo, talagang prohibitive. I was imagining that the luxuries and amenities na nilalagay sa mga SUVs in the market ngayon is worth around 500k-700k.

Well, I think this is another problem with regards to the tax law. How often will the government review the price range ng mga sasakyan na itatax. At the rate this country is going, the Altis (assuming its price would be lowered to around 700+k after the tax) would probably have a retail price of more than 1M in 10-years' time. E di sangkatutak na yung tax by that time.

OT: yung central bank regulates the car plans of mga top execs ng mga banks. When my dad was working for this small bank last year, inofferan siya ng car plan. Pero dahil sa batas ng BSP, 750k lang daw yung max (yung butal will be paid out of the exec's own money) dahil ayaw ng BSP na masyadong "luxurious" yung mga sasakyan ng mga bank execs. This law was put into effect nung mga early 90's when the price of a Galant/Corona was around 700+. Ten years after, di parin nagbabago yung rules ng BSP.

Ganito rin kaya mangyayari sa excise tax law na ito?

[triggerman]

BUT, how do you define luxury? It is the engine displacement or the price that dicates the kuxuriness of a vehicle. The current tax law a vehicle to be luxurious if it goes over a certyain engine displacement. Hell with it ... that is only advantageous to the Japanese and Korean manufacturer's. I guess everyone knows that the Asian cars has an average engine displacement of 1.6L while the US and Europeans are at the 3.0L. And their prices could be relatively close. What makes them a big difference over here in terms of prices is that the Japanes/Korean gets away with a small tax base while the US/European gets slapped with a kuxury tax.

Now, pantay pantay ang laban. Eveyrthing is dictated by the price as it should be be.

IMHO.

[mbt]

hmm... i do not think a stripped SUV is a luxurious vehicle by any means, yet the new tax law seems to count them as such... which leads me to conclude na hindi pantay-pantay yung labanan ;)