Pickup truck registration fee officially increased 3 times
From April 1, 2019, pickup trucks and vans will have to pay an initial registration fee of 60% of the initial fee for cars with less than 9 seats, 3 times higher than before.
According to Decree 20/2019 amending and supplementing a number of articles of Decree 140/2016 on registration fees, the method of collecting registration fees for VAN trucks and pickup trucks has begun to change.
Specifically, the registration fee rate for these two types of cars will be collected at 60% of the first registration fee rate for passenger cars with less than 9 seats.
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With the sharp increase in registration fees, the cost that consumers have to spend to buy a pickup truck from now on will also increase by several tens of millions of dong. |
With the new calculation method, the registration fee rate for pickup trucks will be 7.2% in Hanoi (60% x 12%). Meanwhile, the rate in Ho Chi Minh City and other provinces and cities will be 6% (60% x 10%).
For example, a pickup truck purchased in Ho Chi Minh City costs 1 billion VND, the registration fee (2%) must be paid 20 million VND. From April 1, 2019, the registration fee for pickup trucks is applied at 60% of the registration fee for cars (10%), so the registration fee for this type of vehicle must be paid is 6%, 3 times higher than the current rate. The amount the buyer must pay in registration fee is 60 million VND, an increase of 40 million VND.
The registration fee for passenger cars is 10%, while the fee for VAN trucks has also increased to 6%, 3 times higher than the current level. This means the additional payment will increase by several tens of millions of dong, depending on the car model.
For pickup truck models with retail prices of about 800 million VND, the registration fee will increase by about 50 million VND compared to before.
Regarding the price for calculating registration fees for cars and motorbikes, Decree 20 provides detailed regulations in principle consistent with the asset transfer price on the market at the time of establishing the fee calculation price list of the management agency.
In case a new type of car or motorbike arises that is not included in the price list at the time of submitting the registration fee declaration, the tax authority shall decide the price for calculating the registration fee for each newly arising type.
