Vehicle Excise Tax News

[nitrox]

hi guys,

can anybody post the new prices of the CRV and RAV4?

thanks!

[kyle618]

The passage of the law is expected to jack up the prices of top sellers including the Toyota Revo, Isuzu Crosswind and Mitsubishi Adventure, which fall under the AUV category,

awesome!! less auvs on the road = more cars on the road!

[tebs]

tataas ang presyo ng Rav4?

kala ko mas mataas ang tax nya ngayon coz classified sya as an suv. then bababa dahil sa price based na ang taxation.

can anyone clear this out? i'm at a loss. bibili kasi kami ng rav4 na 4x2 e. i need help please.

thanks!

[mbt]

i don't see why the RAV4's price should increase... dapat bumaba pa nga yung 4wd model e

[cardo]

Originally posted by explorer

Under the new law, 10-seater cars including Asian Utility Vehicles (AUVs), Sports Utility Vehicles (SUVs), vans and pick-up trucks would no longer be exempted from excise tax. Only ambulances and fire trucks will be given the said tax break, radio dzBB reported.

baka gawin ng honda iclassify yun CR-V as ambulance hehehe para exepted uli sa tax :bwahaha: j/k

Originally posted by explorer
The passage of the law is expected to jack up the prices of top sellers including the Toyota Revo, Isuzu Crosswind and Mitsubishi Adventure, which fall under the AUV category, and the Toyota RAV 4 and Honda CR-V, which fall under the SUV category.

so AUV's and SUV's tataas ang prices... hows about yun mga luxury cars like bmw 3series and merc c-class? balita ko baba ang presyo... dont you think its a bit stupid na tataas yun pang masa na AUV tas bababa yun price ng mercs, BMW's etc. - watdapak? :praning:

[mbt]

cardo,

pwede, kasya naman yung tao with the rear seats folded (yung paa nya nakalusot sa open rear hatch glass hehehe) :D

sa tingin ko dapat lang talaga bumaba yung prices ng BMW, benz, etc kasi overpriced talaga yung mga yun with the current tax scheme (at least the >2.0L models)

[stormrider]

MANILA, PHILIPPINES | Saturday, August 30, 2003
Auto excise tax law signed
By KAREN L. LEMA and IRIS CECILIA C. GONZALES, Reporters, CATHY ROSE A. GARCIA, Senior Reporter and ERIC S. BORAS

...

The newly signed auto tax law is expected to be implemented in October 1 as the government is still in the process of finalizing its implementing rules and regulations (IRR).

Finance Secretary Jose Isidro N. Camacho said the final draft of the revenue regulation, which will detail specific guidelines on how the law is to be enforced, will be finished next week.

"The law will only take effect after the (implementing) revenue regulation is issued and we are rushing to finish it by next week," Mr. Camacho told reporters yesterday. It would take another two weeks after the tax regulation is published in newspapers of general circulation before the law becomes effective.

Sources said the 14-member Chamber of Automotive Manufacturers of the Philippines (CAMPI) will be meeting with concerned government agencies next week to formulate the IRR.

"We are targeting October 1, we hope that the law will be implementable by then," Finance Undersecretary Grace Pulido-Tan said in a separate interview.

Until the new law becomes effective, Ms. Tan said the tax regulation which imposes higher excise taxes on a number of vehicles will be used as the basis of auto taxation starting September 9.

IMPLEMENTING RULES

BIR, and the departments of Finance and Trade and Industry are reportedly still discussing the draft IRR with car manufacturers. BIR has already submitted early this week the draft rules, but Ms. Tan said details are still under review. "We could not say on what the final details will be since they are all under review. There could still be changes during the process," Ms. Tan said.

For this reason, car companies are still waiting for the IRR on the new tax system before revealing the new pricing structure for their vehicles.

Toyota Motor Philippines Corp. public affairs officer Ariel de Jesus said the company is conducting a review of the current prices of vehicles that will be affected not only by the new tax system but also the volatile foreign exchange rate situation.

"We are reviewing our current pricing based on the final provisions of the law... Also affecting our pricing is the forex rate, which has been moving too drastically in the past few days. This has also affected the cost of production. We don't know yet as to what extent the effect (of the new law) will be," Mr. de Jesus told BusinessWorld in a telephone interview.

Mr. de Jesus said the prices of cars would definitely go down, as a result of the excise tax, but declined to give exact figures.

Honda Cars Philippines marketing division deputy head Arnel D. Doria said the IRR is important since it would lay down the guidelines and the transition period for the industry to adjust to the new excise tax system.

Mr. Doria admitted the company is wary about revealing how much the prices of the vehicles would be affected by the new excise tax system, since potential buyers may hold off plans to buy at the current "high" prices.

"We're still waiting for the IRR because it has the details on how long the transition period will be. When would the law take effect, next week or in October?... We don't want to give the expected prices, until we see the IRR. We want to make the announcement about the pricing at a proper time," he said.

Mr. Doria added that the company will continue to use their existing model -- inclusive of accessories -- as the base price for the computation of the excise tax. "We will continue to use our current model lineup with the accessories. Some (companies) may cheat by removing the accessories. For us, we will sell our cars 'as-is,'" he said.

[green]

Got this from the Philippine Star yesterday...

---------------------------------------------------------
Are passenger car prices really going down?

MOTORING TODAY By Ray Butch Gamboa
The Philippine STAR 09/03/2003


With the approval and eventual implementation of the New Excise Tax Law it is deemed that prices of vehicles in some categories would go up while others would go down — like that of passenger cars.

Correct?

"Yes, but then, maybe not," is the reply of Mr. Daniel Isla, first VP for marketing of Toyota Motor Philippines, who I fondly call "Pareng Ringo", being an avid Beatles lover with a clinical knowledge of the "Fab Four" equal to that of the Inquirer’s Al "Pareng Paul" Mendoza, another recognized true blue "Beatlemaniac".

"With the current tailspin of the value of the peso against the dollar, passenger cars may at best ( maintain their prices or worse even go higher while the AUVs and SUVs and other expensive vehicles might even have higher prices that were expected upon the implementation of the newly approved Excise Tax Law."

This was how Danny described the disappointing scenario that’s unfolding in the local automotive industry when he called me up one early morning awaken from a deep slumber by the phone’s ringing, after an editing session of some of my TV shows which ended only a few hours ago early that morning. Well, as the song goes, "That’s what friends are for".

But seriously, those who have been postponing their purchases while waiting for the implementation of the New Excise Tax law might be in for a big surprise of not seeing the expected lowering of price tags of passenger cars.

I guess the passing of the bill just took so long and some events that recently happened have also triggered some unexpected adverse scenarios. I don’t think the car manufacturers are to be blamed for this development. But who knows, things might just turn out for the better — for everybody.

-----------------------------------------------------------------------------------

Mukhang nagpaparinig na yung mga car manufacturers para hindi na tayo magulat

New excise tax = same prices = bigger profit! :fire:

[kevinp]

bwiset talaga! Pati mga auto journalists kasama na sa mga kalokohan ng mga manufacturers. Baka nasa payroll ng mga car companies yung mga columnists na ito. yan din ang sinabi sa inquirer motoring section today (Sept 04). 2 columns pa!!!

These manufacturers wanna take advantage of the confusion that the new tax law brings! bakit nung Edsa 2, naging 55 to a dollar tapos nagtaas ng price ang mga manufacturers. nung bumalik to 50 to a dollar nagbaba ba sila ng prices? Hinde!

Ngayon daw magtataas na naman "because of the weakening peso"!!!??? That's just a bunch of CRAP!!!

Mga peeps, how will we let the manufacturers know that we will not take this sitting down? I mean they should at least justify the supposed increase or the absence of price reduction after the tax scheme is in place.

[krscla]

Originally posted by kevinp
bwiset talaga! Pati mga auto journalists kasama na sa mga kalokohan ng mga manufacturers. Baka nasa payroll ng mga car companies yung mga columnists na ito. yan din ang sinabi sa inquirer motoring section today (Sept 04). 2 columns pa!!!

These manufacturers wanna take advantage of the confusion that the new tax law brings! bakit nung Edsa 2, naging 55 to a dollar tapos nagtaas ng price ang mga manufacturers. nung bumalik to 50 to a dollar nagbaba ba sila ng prices? Hinde!

Ngayon daw magtataas na naman "because of the weakening peso"!!!??? That's just a bunch of CRAP!!!

Mga peeps, how will we let the manufacturers know that we will not take this sitting down? I mean they should at least justify the supposed increase or the absence of price reduction after the tax scheme is in place.

Maintain our cars well and avoid buying new ones as of the moment.