Budget 2017 favours vehicle importers

Sri Lanka Vehicle Importers’ Association Chairman Dinesh Senanayake said yesterday the 2017 Budget proposals were good for the vehicle sales industry.

He said prices of vehicles with an engine capacity of less than 1000cc would be increased by Rs.200,000 while there would be no price change on vehicles with an engine capacity between 1000cc and 1800cc.

From 1800cc to 2000cc, would see an increase of Rs.900,000 due to the increase in unit price by 500,000 he said.

The excise duty on electric cars will reduced by 10 per cent and this will result in the prices reducing by Rs.500,000.

There will be a minimum duty of Rs.4.5 million on 15-seater passenger vans and accordingly they would be increased by Rs.700,000. The duty on those vehicles had been reduced from 150 per cent to 85 per cent.

The duty on delivery vans will be reduced from 150 per cent to 85 per cent, with a minimum duty of Rs.4.5 million.

The duty on small petrol vans (Batta) had been reduced to Rs.1.5 million from Rs.2.8 million. Now a van could be sold at prices ranging from Rs.2.5 million and Rs.3 million. The earlier price was Rs.4 million.

The duty on Crew Cabs had been reduced from 125 per cent to 85 per cent, a slash of Rs.2.5 million. A Crew Cab can now be sold for prices between Rs.6 million and Rs.6.5 million.

There is no price difference on double cabs but there will be a minimum duty of Rs.5 million.
When importing lorries and refrigerated trucks, with capacity of more than five metric tons, the previous age limit of five years has been extended to 10 years on a Cabinet proposal.(Chaturanga Pradeep)