Vehicle Excise Tax News

[OTEP]

This is starting to sound stupid. Paano ang mga pick up trucks? Taxed na din? How about commercial vehicles like the ADMax and ADResort?

Sumakay na lang kaya tayong lahat ng tren?

Sana may maglabas ng bare bones SUV (with 4wd) para naman may magamit pa din sa bukid.

[OTEP]

Why can't we just adopt the US system of taxation?

[kevinp]

HBOY, sa bagong tax scheme, wala na. yung current tax scheme based on displacement, may difference yung taxation ng desiel and gas.

OTEP, yung 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.

Pinaka-hard hit talaga by this tax scheme are luxo cars that have a base price of over 2M before VAT and Excise tax.

I wonder if the auto manufacturers actually pay the money they owe the gov't. Its kinda hard to imagine kasi yung mga car manufacturers almost never discuss to the buyer yung breakdown ng costs (i.e 600k vehicle cost, 150k Tax). Lagi lang "The new Corolla. Starting at 750k" or something like that.

[OTEP]

So LCV's are exempt? Pwede sigurong gawin ng mga manufacturers yung strategy ng Kia dati. Hindi nila nilalagyan ng side rear windows are rear windshields yung mga Sportage para ma-classify na LCV. Kapag binili ng consumer, may 'conversion package' na included sa presyo.

Ang laman ng conversion package ay yung mga missing windows, the rear seat and various other trim pieces para maging wagon yun Sportage 'delivery van'. hehehehe.

[kevinp]

Naisip ko nga rin yan e. Example yung revo VX2200. gawin nila same engine lang tapos bare to the bones talaga kahit tingga na mags para below 600k yung selling price. pag nabili na ng customer, samahan na ng "Luxury Package" kasama yung Mags, VCD player, power windows, power steering, leather seats, etc. Kung ganyan, di kasama yung amenities sa invoice price ng auto kaya di rin ito masasama sa excise tax. :D

Bagong pandaraya na naman ng auto manufacturers ang mangyayari nyan! hehe! Good for the consumer, bad for the Government.

[ssaloon]

bad naman tlga government natin eh :lol:
puro kurakot! :D

[5Speed]

hayyy...dapat makabili na nang sasakyan bago ma-implement yan...


teka damay na ba yung mga bibili ngayon kung sakali?

[ssaloon]

yep... kasi dati nagtanong ako tungkol sa pagtaas ng price ng crv, di na nila hawak yung taxation eh... kontrolado na ng government kaya kahit magreserve ka na ngayon, sakop pa rin yung full price sa new taxation scheme.... which really sucks! :mad:

[kyle618]

my friend from toyota said that they stopped producing units of the revo na kasi di na magiging affordable or practical para sa target market nila. with that kind of money, they can buy the mini suvs na eh.

true...

Pinaka-hard hit talaga by this tax scheme are luxo cars that have a base price of over 2M before VAT and Excise tax.

bad trip talaga... palayo ng palayo dream cars ko!! yun mga nangungurakot lng nakakabili mga kumag kayo!

[kevinp]

mga peeps... take note that AUVs (Revo, Crosswind, CR-V, Adventure) will not become unaffordable after the new tax scheme. The increase ng tax ng AUV's will be less than 100k. Personal estimate is around 60k (see my computation for the revo above).

The issue about AUV's becoming unaffordable is with the CURRENT tax scheme based on displacement. Kung yung current tax scheme ang masusunod, talagang di na affordable ang AUVs (i.e. VX2200 Revo would be subject to 50% tax). But since price-based na ang tax, iba na ang computation.

Ang kalaban nating mga consumers here is the confusion that comes with the implementation of the new tax scheme. We must be vigilant against profiteers kasi tingin ko meron mga iba dyan who will take advantage of the confusion and jack-up their prices too much.

[kevinp]

Originally posted by 5Speed
hayyy...dapat makabili na nang sasakyan bago ma-implement yan...


teka damay na ba yung mga bibili ngayon kung sakali?

Purchases made before Sept 8 will not be affected by the new tax. Kung balak nyo bumili ng AUV, bili na! pero kung Auto na less than 1M ang price, better hold on and wait kasi siguradong babagsak ang presyo nyan.

Ang mahirap dito e yung mga salespeople ng mga car companies kadalasan wala din alam. nagtanong ako tungkol sa revo last month and the salesperson said, itatax daw ng BIR yung Revo tapos meron pa rin daw tax from the Senate Bill! Nakikipag-away na ako dun sa babae pero ayaw talaga maniwala. sabi daw ng boss nya yun.

Yung sinasabing applicable yung excise tax sa existing inventory: Excise taxes will be applied to the manufacturer's/importer's inventory AS OF September 8. so that means kahit 1 year old na sa warehouse yung auto, pag di nabenta by Sept 8, the gov't is gonna tax it. The tax does NOT apply to purchases made BEFORE the law's implementation date (Sept 8).

[mk]

ok so safe pa pala bumily ng crv.... if ever na implement na ng bagong excse tax..magkano na ang new crv....990 t for the a/t now...

[MAXBUWAYA]

Ang honda phils gumawa na ng maraming stocks sa planta. Sobrang dami!. Pag naaasemble pala ang auto at nalagyan ng conduction sticker, exempted na. kahit wala pa sa dealer

I guess lahat ng manufacturer ng AUV ganyan na ang ginagawa
make more stocks hangat wala pa final approvement.

I believe babagsak ang bentahan ng auto.

[mk]

ok....you have a point there....but why? malakilaki naman kinikita ng gobyerno...este kurakot pala.... yesterday me and my dad just go to the bank and paid 330,000 php only for capital gain tax yata.... nabenta kasi kami ng lot e..

[usokpower]

Originally posted by kevinp
Naisip ko nga rin yan e. Example yung revo VX2200. gawin nila same engine lang tapos bare to the bones talaga kahit tingga na mags para below 600k yung selling price. pag nabili na ng customer, samahan na ng "Luxury Package" kasama yung Mags, VCD player, power windows, power steering, leather seats, etc. Kung ganyan, di kasama yung amenities sa invoice price ng auto kaya di rin ito masasama sa excise tax. :D

Bagong pandaraya na naman ng auto manufacturers ang mangyayari nyan! hehe! Good for the consumer, bad for the Government.

Thats one loophole that car manufacturers can do to lessen the burden of taxation. Nissan applied this kind of loophole to its Nissan Patrol. First bili ka muna ng 4x2 patrol and a 4x4 comes as an option.

IMO, yung new tax scheme for ten seaters is a reasonable call. i believe its Hondas fault that it made it too obvious for the govt to see its defect in the current tax scheme. (nagyon lang ba nila nahalata ito???) Ang engot naman nila. Parang may nabasa ako regarding the current tax law on ten seaters. A vehicle will be exempted from excise tax if it has a seating capacity of 10 BASED on the manufacturers brochure.

Not even a pajero can fit 10 people kahit noong highschool pa ko nagtataka ako pano magkakasya ang 10 adults sa FX.

Bibili at bibili pa rin ang tao ng oto kahit taasan pa yan. It will surely affect sales but not to the point na magsasara ang oto industry dito.

Sabi rin ng ermats ko noong bata pa sya noong itataas ang presyo ng oto.........."WALA NANG BIBILI NG OTO PAG TINAAS NILA YAN NG 400,000. eh ngayon steady pa rin ang car sales more than double na ang presyo.

Gaya ng sinabi ni kevinp car manufacturers will surely take advantage of this new tax scheme. Sigurado papatongan nila presyo nyan. The govt should launch an information campaign doon sa new tax scheme para wala nang palusot ang car manufacturers.

[ssaloon]

Originally posted by MAXBUWAYA
I believe babagsak ang bentahan ng auto.

and aangat siguro ang 2nd hand car market.

[Ibaloi]

Paano kaya yung mga Subic units na SUV's? Sasaya kaya ang mga importers? Hmm...

[boybi]

reposting my post from: AUVs fail '10-seater test,' lose tax privilege

kagagawan lahat ito ng honda when it classified the crv as auv. now that a new tax regulation is to be implemented, hindi naman gaano ma-apektuhan ang honda since wala talaga syang auv and suv, the 2 most affected sa new tax scheme. baka mabalik ulit sa mga passenger sedans ang top seller which is now the auv's. so makikinabang na naman ang honda dito dahil puro passenger cars lang ang benta. yung crv kumita na sila dito so ok lang sa kanila.

[pissword]

haayy daya daya hehehe...sila un tinitira sila naman d apektado hehe pag tumaas ang presyo ng mga AUV eh may chance pa na mag CRV nalang mga tao kesa revo and the like hehehe... haayyy wala lang

bakit un bmw 316 ata nabasa ko kahapon at 250T dp pwede sila mag bigay sau ng 4years na plan NO INTEREST.. 31T+ a month i think. anung price yan?? ndi pa bagong tax scheme?

[kevinp]

Let me set the record straight. This is info I got from reading articles about the tax schemes and researching on the net.

Based on BIR Revenue Regulation 1997, vehicles will be taxed (excise tax) according to their engine displacement. There are varying tax tables for diesel and gasoline-powered engines. The BIR also ruled that "Automobiles" with a capacity of 10 or more persons including the driver will not be subject to excise tax.

The excise taxes ranged from 15% for engines less than 1500cc (gas) and 2000cc (diesel) to 100% for engined greater than 2700cc (gas) and 3000cc (diesel).

After the new CR-V came out classified as an AUV and exempted from excise tax, Ralph Recto noticed that it really can't carry 10 people (siguro bumili siya). This urged him to author a Bill that will change the application of excise taxes on Automobiles. The BIR on the other hand, noticed this too and decided to re-measure all vehicles that are currently enjoying tax exemption.

The automotive sector started complaining that if the BIR lifts the tax-exemption, prices of AUVs would be pushed into the 1M++ range and would make it unaffordable.

Ralph Recto came out with a Bill that will generally lower the excise tax rates on cheaper cars and impose higher-than-high taxes on luxury vehicles (i.e. vehicles costing more than 2M). This will increase slightly the cost of an AUV but the resulting cost is still way lower than if the BIR were to impose the current tax scheme on AUV's

On Sept 8, the new law will be implemented on ALL UNSOLD VEHICLES in the manufacturers'/importers' factory, warehouses and/or customs lot.

With the new law, we can expect lower prices for compact and medium sedans and sky-high prices for our dream cars.

IMO, tama lang ito kasi this will impose greater taxes on richer people while imposing lower taxes on buyers of entry-level vehicles. If the buyer of a Honda City used to pay the Gov't 10% VAT and 15% Excise Tax, now they'll only have to pay 10% VAT and 2% Excise tax. Malaki-laki na rin ang matitipid ng buyers dito.

Siguro nga this goes mostly in the favor of Honda and Toyota (best-selling ang Altis). I predict a dip in sales of AUVs pero di naman siguro sobrang laking dip since konti lang ang increase. Luxury vehicle sales will probably be cut by half while compact and mid-size sedan sales will increase.