VEHICLE IMPORTS Trucks, Buses To Be Cheaper, But Not Cars
Cars will be costlier in the coming financial year, while trucks and buses will be cheaper. And all new vehicles which do not support Euro 4 fuel will not be allowed into the country.
Euro 4 is a globally-accepted European emission standards for vehicles that require the use of fuel with significantly low sulfur (0.005 per cent, or 50 ppm) and benzene (maximum of 1 per cent by volume) contents.
To curb traffic congestion, accidents, infrastructure damage and loss of time and productivity, a 10 per cent Environment and Climate Levy will be imposed on motor vehicles.
The ECAL will be imposed on new and used vehicles. This includes hybrid and non-hybrid vehicles.
Fiscal duty changes have also been announced for used passenger vehicles. For hybrid vehicles less than 1500cc, new fiscal duty is $4000 from $2000.
Hybrid vehicles between 1500cc and 2500cc will now pay $5000 per unit as opposed to $2500. Hybrid vehicles between 2500cc and 3000cc will now have a fiscal duty of $6000 per unit compared with the current rate of $3000.
Hybrid vehicles exceeding 3000cc will pay a fiscal duty of $13,000 per unit compared to the current rate of $6000 per unit.
On non-hybrid vehicles all new vehicles up to 2500cc will have fiscal duty move to 15 per cent from the current five per cent.
New non-hybrid vehicles between 2500cc to 3000cc will be 32 per cent or $23,000 per unit and vehicles bigger than 3000cc will have a fiscal duty of 32 per cent or $28,500 per unit.
Fiscal duties on buses having more than 16 seats will be zero. Heavy machinery which includes trucks, cranes, forklifts, loaders, bulldozers and road making machinery have been reduced by five per cent.
Similarly, vehicles used in the transportation of agricultural and retail goods have had fiscal rates reduced from 15 per cent to five per cent.
Also good news that age limit for buses and trucks used to transport agriculture and retail cargo will have age limit removed provided they meet Euro 4 specifications.
Bicycle and motorcycle tyres will cost lower with fiscal duty made zero.
Customs laws have also been changed to ban the importation of left hand drive vehicles