Change Of Government? Change In Import Taxes?

[jterminator]

I'm just curious, do you suppose a change in government might see a tax break on imports / "luxury goods" etc? I know that our currency is kinda over valued thus this might be a good way to reduce the trade deficit on the short run - i'm no economist but isnt that just a temporary solution?

Another reason for increasing taxes on imports is to protect local industries but we dont have a local motor vehicle industry right?

Does anybody here have "inside" info on how the "other side" might handle the economy etc?

[Hola]

Forget that. Isnt the tax gone up by 2.5%?

[Velocity]

I'm just curious, do you suppose a change in government might see a tax break on imports / "luxury goods" etc? I know that our currency is kinda over valued thus this might be a good way to reduce the trade deficit on the short run - i'm no economist but isnt that just a temporary solution?

Another reason for increasing taxes on imports is to protect local industries but we dont have a local motor vehicle industry right?

Does anybody here have "inside" info on how the "other side" might handle the economy etc?

machan i dont think vehical tax would come down anytime soon.....

dont be suprised but sri lankans do have lot of money stacked inside their bank accounts.

goverment knows this. so best way earning additional revenue will be this. specialy when a car is a status symbol in Sri Lanka.

i guess we will have to live with this.

[Gummybr]

Forget that. Isnt the tax gone up by 2.5%?

Yep it went up. But I think most car importers got atleast some of their cars out on the day of the budget.

2.5% directly.

But then on the bright side they are giving bus people rest from some taxes and VAT if they want to upgrade, but how can that happen cos they are not the direct importer.

SO happy living.

[Hola]

On top of that the import certificate is another 2500dollers

[jterminator]

machan i dont think vehical tax would come down anytime soon.....

dont be suprised but sri lankans do have lot of money stacked inside their bank accounts.

goverment knows this. so best way earning additional revenue will be this. specialy when a car is a status symbol in Sri Lanka.

i guess we will have to live with this.

Damn it, i still need to make my money to stack up lol

guess you guys are right, we'll just have to live with it for the next 10-20 years...

[fuzzo]

yeah i've totally given up following on this tax hikes oncars.. they are just going to go up ...we just have to live with it.

[Nozozo]

As I know many car agents knew this before hand, they had cleared all of the cargo and pushed buyers to buy before the budget. My company made a purchase on 16th because of the heard rumour about VAT claim. Not sure what IRD do with it !!

[Pericles]

Not sure what IRD do with it !!

Increase their retirment funds?

[Ripper]

sri lanka must be one of the highest taxed countries in the world if not the number one on the list

i got some stuff off ebay...some fishing tackle and the customs buggers taxed me 26% of the total cost...this is much better than the 300%+ tax on high displacement vehicles but it so absurd cos people in other countries get the same for half rate...

A bloody double cab becomes a luxury vehicle because of engine displacement and get 300% taxed...

Hope the bloody war will finish so these jackbutt politicians and paper economists have no excuse for these kinda stpid tax rates

[Gummybr]

Yep it went up. But I think most car importers got atleast some of their cars out on the day of the budget.

2.5% directly.

But then on the bright side they are giving bus people rest from some taxes and VAT if they want to upgrade, but how can that happen cos they are not the direct importer.

SO happy living.

Guys I was just checking up with the increase in vehicle prices at office (work for a luxury car agent). The 2.5% increase in tax effects indirectly to other taxes applied at customs so altogether the increase according to the clearing guy and our finance guy will be in the range of 10% - 12.5%.

Additionally I hear that most of the VAT on lower end cars will not be claimable against the higher end vehicles, who will carry bigger VAT amounts on the selling price and therefore will claim most of the VAT. So ultimately this time the budget car user is hit if my source is correct.

The price mat go up or fall the higher end vehicles will move compared to the lower end who will be hit according to the situation.

Thats Sri lanka for you and it is us who will be effected most and not the upper middle class and above.