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China Auto Market :: Economy and Regulations

China is planning to impose environmental tax on motors


www.GoChinaAuto.com

GoChinAuto.com-Jan.28th, 2010, It was reported that officer of Beijing Development and Reform Commission let out the news that China government was studying imposing environmental tax on motors, including pollution emission of vehicles.

 

Beijing probably will be the first city imposing environmental tax on motors. And specialist thought that environmental tax still was study stages, questions, such as how to impose tax and which models will be imposed, still not solved.

 

China government had considered environmental protection into those taxes imposed on motors, as for the vehicle purchase tax, heavy emission vehicles was imposed 10% purchase tax, while small-displacement was imposed 7.5%; and consumption tax of heavy emission was 40% compared 5%, which of small-displacement; Furthermore, in 2009, China reformed fuel duty and the fixed fuel duty in consumption tax increased from 0.4 RMB to 1 RMB.

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