Country:China
Year:1994
Policy status:In Force
Jurisdiction:National
Date Effective:1994
Policy Type:Economic Instruments>Fiscal/financial incentives>Taxes
Policy Target:Transport>Vehicle type>Light-duty vehicles, Transport>Vehicle type>Passenger vehicles
Agency:State Administration of Taxation
Description:

Excise tax rates for vehicles have been proportional to the size of car engines since 1994.

  • The rate for cars with engines 1.0L or less was set at 3%, for engines over 4.0L it was 8%, and for engines in between the rate was 5%.
  • As of 1 April 2006, the range of excise tax rates for vehicles was broadened to 3-20%.
  • Rates for small cars with engines between 1.0 and 1.5L decreased to 3%, for engines from 1.5 to 2.0L they remained at 5%, while for engines between 2.0 to 4.0 the rate increased to between 9% and 15%.
  • For engines over 4.0L, the rate nearly doubled from 8% to 20%.
  • On 1 September 2008, the excise tax rate for engines 1.0L or less further decreased to 1%, while for engines from 3.0 to 4.0L it increased to 25%. The rate for cars with engines over 4.0L increased to 40%.

year effective: 2006 (amended 2008)

Last modified: Thu, 02 Nov 2017 17:04:06 CET