Customs Tax amended for vehicles less than 1000cc, hybrid/electric

1 August 2018 12:15 pm - 54 - {{hitsCtrl.values.hits}}

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The excise duty levied on vehicles engine capacity less than 1000cc had been revised from today, the Finance Ministry said.

Accordingly, Import Duty on vehicles less than 1000cc had been increased up to Rs. 1.5 million and hybrid and electric vehicles less than 1000cc up to Rs.1.25 mn.

However, these tax amendments would not affect the letters of credit (LC) opened before August 1, 2018, and these new taxes are not applicable for vehicles cleared before 31st January 2019.

Speaking to the Daily Mirror Vehicle Importers Association of Sri Lanka (VIASL) Chairman Ranjan Peiris said the price of petrol vehicles with engine capacity less than 1000cc would be increased by Rs. 3,50,000, while electric and hybrid vehicles less than 1000cc engine capacity would be increased by Rs.4,15,000.

“Hybrid vehicles such as Suzuki Hustler, Suzuki Wagon R, Suzuki SpaciaC vehicles will be increased. Less than 1000cc petrol vehicles such as Suzuki Alto (Japan), Daihatsu Mira, Honda N-BOX, Honda N WGN (Wagon), Nissan Dayz and Toyota Pixis Epoch would be increased,” he said.

According to the Customs, sources increased customs duty on petrol car: Alto 660cc and Petrol Wagon R (660cc) would be Rs.1500,000, which was at Rs.1,155,000 Wagon R Hybrid would be 12,50,000 which was at 825,000. (Chaturanga Samarawickrama)

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Comments - 54

Sam Wednesday, 01 August 2018 12:49 PM

Back to 3 wheelers again.

Sincere Wednesday, 01 August 2018 01:52 PM

Why not to 2 wheels or locally made Volxvagans? Yahapaalaya is for that!

mohamed Wednesday, 01 August 2018 04:43 PM

The best way to reduce the vehicle is to put a cap to no of years an old vehicle can registered like 20 yrs ,not by increasing the tax to common people ,and give tax free permits to some. this unfair and a pathetic practice in our country .Lets make this and keep the tax equal for all. no special permits. by putting a cap we can get rid of the old vehicle and encourage people to by new environment friendly .old can be sold to recycle . here the problem 40 yrs old road not worthy are still on the road causing traffic and pollution

Brainmaster Wednesday, 01 August 2018 01:26 PM

This is wrong only a burden for the middle class. You should increase the tax for the big cars belonging to the big shots. via DM Android App

SL Wednesday, 01 August 2018 09:32 PM

it's already increased.toyota Prius is already costs more than 10.2M

Henry Wednesday, 01 August 2018 01:29 PM

What a mess in the country,all due to the bond scam the robber in Singapore enjoying. time up for people to get to the streets

Raj Wednesday, 01 August 2018 01:40 PM

Whether we like it or not something will have to be done regarding the huge number of vehicles in use...our road network cannot handle it...if the growth in number of vehicled is not curbed over the next 5 year it is going to take more than an hour just to get from for example dehiwela to mt.lavinia....same elsewhere too...it is time to invest in public transportation urgently....bus, trains in addition to the light rail...also at some point 3- wheelers will have to be stopped completely too.

Unchikun Wednesday, 01 August 2018 02:06 PM

The last only way to reduce traffic on the roads is to improve public transport. This government has done nothing in this field. They imported luxury cars for themselves in supplementary budget. The building highways to visit temples not build the economy. In summary we have a bunch of jokers and so are we to vote for jokers.

Rasheed Wednesday, 01 August 2018 02:16 PM

They are not curtailing vehicle, instead they are restricting small vehicles and increasing the use of larger vehicles, which will make the traffic worse.

Chatura Wednesday, 01 August 2018 03:23 PM

If traffic is the problem, government should implement a system of having to buy a ticket to put the vehicle unto the road at congested times (like in other countries). Everyome needs to have a vehicle to use in an emergency.

mohamed Wednesday, 01 August 2018 03:39 PM

The best way to reduce the vehicle is to put a cap to no of years an old vehicle can registered like 20 yrs not increasing the tax for common people ,give tax free permits to some , this unfair and a pathetic practice. by doing this we can get rid of the old vehicle and encourgae people to by new environment friendly .old can be sold to recycle

shan Wednesday, 01 August 2018 04:39 PM

yes put a cap of 20 yrs to register old vehcile so we can get rid of lot road unworthy environment polluting vehicle , same time keep the tax equal and reasonable for all the people to afford .currently only one class suffer another enjoy tax free permits . until we have this partiality we will never grow as a country

Roshan Wednesday, 01 August 2018 07:35 PM

This is such a selfish statement. For traffic , only solution is to improve public transportation. It is everyone’s dream to have a car.

Ajja93 Wednesday, 01 August 2018 01:42 PM

Finance ministry officials are absurd. In other countries government give rebate to buy electric cars. Our country official do other way. Frogs in the well.

Cleanman Wednesday, 01 August 2018 01:43 PM

Road way to exit of this government in 2020 ... keep it up finance minister

Unchikun Wednesday, 01 August 2018 01:44 PM

In developed countries there are tax concessions for electric and hybrid cars. This shows the shortsighted policies of the government. The next election is very decisive. We need to vote for educated economists and engineers to run the country. The media need to take the lead and educate the general public, specially the ones in the villages.

mnsmart Wednesday, 01 August 2018 07:50 PM

at least we should not vote for morons in this caliber

sampath Wednesday, 01 August 2018 01:53 PM

Most hilarious government of the modern era.

dana Wednesday, 01 August 2018 01:57 PM

oh my gosh. Small car dreams becomes loss via DM Android App

RAK Wednesday, 01 August 2018 02:22 PM

Non of these cars can be imported to the country right now because of the new emission standard imposed by government.

shan Dubai Wednesday, 01 August 2018 02:29 PM

Its ok to reduce the vehicle on the road by imposing to tax but it has to be equal to all. giving permits to doctors, government employees, MP's and leaving common people to suffer is an ugly and pathetic practice in our country .where there is no better public transport system, such as metro and high speed, convenient railway, and bus system. if you want to reduce traffic in city install toll gates on busy roads but this is unfair. we are sending foreign currency from for over 15 yrs and not able to get a permit or to enjoy an affordable vehicle in our own country, whereas we get here vehicle as cheap as 1 lack

Dilshan Wednesday, 01 August 2018 02:31 PM

Look at which person or company opened the most amount of lc’s in the last month? You can find out who leaked what to who’s friend

dinesh Wednesday, 01 August 2018 02:32 PM

Jokers running the government .

Roshan . C Wednesday, 01 August 2018 02:50 PM

Time to put this gov out forever!!!!

Citizen perera Wednesday, 01 August 2018 03:19 PM

We are waiting for Volkswagen vehicles manufactured in srilanka..I am sure these vehicles would be duty free.

GH Wednesday, 01 August 2018 06:55 PM

A day dream! YAHAPALANAYA Govt. is counting the days.

Harindra Thursday, 02 August 2018 01:15 AM

VolksWagen seems to be a scam to lend the land to private owner!

Rasheed Wednesday, 01 August 2018 03:36 PM

Close associates of FM must have already opened L/C for the smaller cars.

Ram Wednesday, 01 August 2018 03:39 PM

Duty on small vehicles must be reduced to encourage people to use small cars. That will help the country on fuel imports and roads too on the traffic. Duty is missed out on small cars charge the bigger cars

Dee Wednesday, 01 August 2018 03:49 PM

We are still pretty cheap compared to other countries. Anyway our public system is non existent hence we will continue to buy cars. And for those who say big capacity cars should be taxed more, it is already taxed highest.

Patriot Wednesday, 01 August 2018 03:56 PM

but why?

Harith Wednesday, 01 August 2018 03:59 PM

Tax on a Suzuk Alto 150% of CIF Tax on BMW 7 Series 70%Tax on Range Rover 60%Tax on Ferrari 50%Tax on Bentley 40%

Sri Wednesday, 01 August 2018 05:45 PM

Because this government is for the benefit of rich people. They don’t care about the rest

Dee Wednesday, 01 August 2018 09:13 PM

The big cars you mentioned! How many are on the road? And the revenue the govt gets from one compared to the thousands of smaller ones? Think a bit will ya? Before commenting.

Lashan Thursday, 02 August 2018 12:01 PM

@ Dee: 500 BMW 500 Range Rovers, 500 Mercedes Benz. The total cash outflows are still mind boggling and rivals small cars.There is no reason why the buyer of the Bentley pay only 40 cents on each Rupee going out of the country when the buyer of the Alto pays Rs 1.50

Lokka Wednesday, 01 August 2018 04:55 PM

This government is incapable in handling anything properly in the economic front.

mnsmart Wednesday, 01 August 2018 05:21 PM

Duty free permits at the expense of Middle class common man, what a pathetic situation

karu Wednesday, 01 August 2018 05:21 PM

My goodness. The Companies that produce these vehicles with research and hard work don't make this amount of profit. It's like how we made the Englishman's bread tastier with pol sambol. Amazing brains

Ash Wednesday, 01 August 2018 05:43 PM

Allocate one permit to purchase a vehicle for every citizen with a driving licence. Additional permits to be taxed at 300%. This will reduce the number of vehicles on the roads. Companies also should be given an allocation based on their tax payments.

DHA Wednesday, 01 August 2018 06:31 PM

Probably the only country in the world where a vehicle price is more than a land price.

Saman Wednesday, 01 August 2018 07:01 PM

Government elected to serve the rich..

Prasad Wednesday, 01 August 2018 07:21 PM

This is a country with a huge income disparity. We tend to talk about road traffic, but we have to remember that it is only relevant to urbs and suburbs. In remote areas, transportation is still being a compelling issue. The ones who wish to buy small size vehicles to facilitate their transportation, specifically in out station, will be really desperate with this tax revision. We have to have a wholistic approach to solve this problem instead of giving this type of petty solutions.

will Wednesday, 01 August 2018 07:35 PM

Tax us, steal banks(central bank), you by best vehicles out of our money, enjoy life for a little more time, we don't want you beyond 2020

Dee Wednesday, 01 August 2018 08:05 PM

Make cars cheap to buy but very expensive to run. Introduce toll fee when entering city, make the annual licence about 5 times, base the insurance according to driver skill levels (demerits for offensive driving) , introduce strict emmision testing and proper maintenance and most of all, ensure every car owner has his own parking space for overnight parking. This way the govt can make all cars tax free.

Dee Thursday, 02 August 2018 12:51 PM

All I could gather is that the 10 people who gave negative comments to my comment is the type who really don't need a car but have one parked outside in the road and even paying the annual insurance from 12 month instalment scheme. Good Luck to you 10. Hope you have a better future!

Gayan Wednesday, 01 August 2018 08:09 PM

Where is that girl who wanted a change in govt to afford a car? Does she even have the bike?

Dee Wednesday, 01 August 2018 09:11 PM

Probably sold the permit and brought a small car and parks it on a public road cause her house does not have space for a car.

Lanka Shantha Wednesday, 01 August 2018 08:32 PM

So it is the sucking Government. They know where they can bleed from. Which car uses more foreign currency for fuel and spare parts and maintenance. Which cars damage the roads by their wide tyres? Those should be taxed. Not the middle class people. So your down fall is ready.Actually Maruti Alto is Sri Lanka Rs 5.6 lakhs. How much we pay for it?

The critic Wednesday, 01 August 2018 08:43 PM

What a stupid scenario.Small cars are efficient on fuel so why increase tax?Stop giving multiple car permits to our useless ministers.They have enough black money collected from people like Arjun.How can a country develop when there are frauds like the bond scam,Previouse govt was no better!SL, GDP is less than the looted money by both govt's.How can a country develop specially when crooks are appointed as CB governors by both Govt's?Welcome to the 3rd world!

Asf Thursday, 02 August 2018 01:28 AM

Why tax increase for the vehicles less than 1000cc? Let it be the same or reduce it. Why can't the government increase the tax on luxury vehicles or at least to collect the tax systematically? Every time trying pass down the burden to middle and low income citizens.

sss Thursday, 02 August 2018 03:12 AM

if you know a politicians (there are tens of thousands) you can buy his /her car duty free and he will get a new one duty free

Professor J.Jinadasa Thursday, 02 August 2018 03:45 AM

The increased exercise duty on small cars are unrealistic, no country in the world has this sort of unfair tax system. Especially, , cars with small engine capacity and electric cars must be given concessions as those cars are not a burden on the treasury. This implies that Sri Lanka is administered by a bunch of uneducated people who do not know the world. Look at the US, there are no taxes except sales tax of 7% that too in some some States only.

Lousy Economics Thursday, 02 August 2018 05:35 AM

Robbing Peter to pay Paul.....robbing from the middle n lower middle class to pay FOR THE LUXURY OF THE UPPER CLASS the useless POLITICIANS.....

nimesh Thursday, 02 August 2018 11:14 AM

Sad situation In Sri lanka,,,people are taxed,,they say no money to pay debts,,but salries of MPs to be increased and money tpo be wasted building a new International stadium in Galle,,,Kata Kiyandada mey pissuwa,,sad thing is no one proper to be elected,,earlier regime ruined the economy and people..,,this regime too ruining the people,,,where to go???

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Customs Tax amended for vehicles less than 1000cc, hybrid/electric

Comments - 54

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