|Taiwan’s Vehicle Tax Cut Modified in Parliament|
A draft amendment to the Commodity Tax Act, to introduce a tax break for those replacing used vehicles with new purchases, was modified as it passed through the Taiwanese Parliament's Finance Committee.
Under the bill, a TWD50,000 (US1,520) commodity tax deduction will be available to an individual or a business purchasing a new car within six months of selling an old vehicle. The used vehicle need not be exported, as required in the previous draft. For motorcycle owners, who were not catered for in the initial version of the bill, the tax reduction will be TWD4,000.
A sold car or motorbike will now have to be more than six years or four years old, respectively, and must have been held by the seller for at least one year prior to its sale.
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Published on our website on Nov.17, 2015