Vehicale Tax To Come Down Further

[Velocity]

I was watching MUL PITUWA and as it seems a SINHALA PAPER MENTIONED THAT

Vehicale and Electronic Goods including Mobile Phone Taxes to come down Further........

Its a Great Relief to Consumers I guess.

Some Good information about the Revenue Goverment is earning.

http://www.lankabusinessonline.com/fullsto...?nid=1470785646

Its Time that the public really could buy a Vehicale for Affordable price and it will be great movement by the Goverment.

Less Taxes Always better.

[TharakaWi]

I too hope that tax will come down further .

But this article doesn't explicitly say that "gov would reduce taxes further", does it? In which paper does it say that the gov will further reduce taxes?

[Velocity]

I too hope that tax will come down further .

But this article doesn't explicitly say that "gov would reduce taxes further", does it? In which paper does it say that the gov will further reduce taxes?

I could not catch which paper it was. Its only after the News Was read that i was trying get more info about it.

[Skyline R33]

I was watching MUL PITUWA and as it seems a SINHALA PAPER MENTIONED THAT

Vehicale and Electronic Goods including Mobile Phone Taxes to come down Further........

Its a Great Relief to Consumers I guess.

Some Good information about the Revenue Goverment is earning.

http://www.lankabusinessonline.com/fullsto...?nid=1470785646

Its Time that the public really could buy a Vehicale for Affordable price and it will be great movement by the Goverment.

Less Taxes Always better.

Amen

[dilku]

Lankadeepa

[Gayan Weerakoon]

I told you guys

[YALA]

i would agree with the vehicle prises coming down but i doubt that the 2nd hand market would come down drastically to make a real difference. there is too many businesses involved in the 2nd hand market that depend on those high margins just my opinion though.

[Gayan Weerakoon]

Don think so buddy this time even second hand market will come down

[hyacc]

There's no such news

http://epaper.lankadeepa.lk/index.php?opti...book&id=923

Duty reduction and car prices

August 25, 2010, 7:23 pm

We must thank the government for taking a pragmatic approach to import duties at a time when the country is enjoying record high foreign reserves. However, the halving of taxes on motor vehicles has not been passed down fully to consumers.

The dramatic duty reduction has no doubt raised hopes of many motorists who are waiting to upgrade their vehicles, but importers are still holding on to high prices on basis that the taxes will be raised again in the November budget.

I have it on good authority that the government is moving towards radical reforms in the tax system, including the import tariff regime, and therefore prices of cars should come down further after the budget contrary to expectation of car dealers.

Many had exploited a lop hole in the tax system to import thousands of "Smart cabs" which were classified as "light lorries." Now that large fleets of these cabs are not moving, the dealers seem to be holding on to the old (high) prices arguing that taxes will go up again. A quick survey of prices at all car importers will show that the prices are still very high and they give varying reasons -- from a sudden surge in prices in Japan to depreciation of the rupee. However, the Japanese second - hand car exports to Sri Lanka is les than one percent of their total exports and could not make any impact on prices. The Sri Lankan rupee is actually appreciating against hard currencies and there is no exchange rate loss for importers.

I urge the government to step in and ensure that consumers have the full benefit of the duty reduction. A statement from the government that there will be no increases in import duties will help to some extent. What is really needed is a further reduction in the November budget to teach these unscrupulous traders a good lesson.

Sunil Mendis

Colombo

http://www.island.lk/index.php?page_cat=ar...code_title=5178

[saraprobe]

There's no such news

http://epaper.lankadeepa.lk/index.php?opti...book&id=923

http://www.island.lk/index.php?page_cat=ar...code_title=5178

This is part of Gov's tax simplifying strategy, Presidential tax commission and IMF have suggested for a simplified and broader tax system, as a matter of fact dividends already have paid from the 1st tax cut this year. If Sri Lanka is to make as a hub we must do it and this time Gov is on the correct art. Itz very simple less tax & all comply, more tax more frauds!!!!

[kumaras]

. Itz very simple less tax & all comply, more tax more frauds!!!!

Like that phrase........ with little modification, less tax,all comply hence good revenue and more tax more frauds and less revenue.

but it took long long years to conveince this theory and Gvt is still in delima.

[kaushama]

Like that phrase........ with little modification, less tax,all comply hence good revenue and more tax more frauds and less revenue.

but it took long long years to conveince this theory and Gvt is still in delima.

And if this is true recent shout in the market that taxes going to be raised again, and hence the price hike; had been nothing but another market manipulation, by people who run the business. When it was first posted in the forum few months ago that taxes going to reduced, people laughed at us. But it was writen here with good evidence provided by top officials.

Despite all these market manipulation goes on. What I can not understand is, our people in Japan doing some severe damage by raising the prices there. That money definetely is going out of country. If people can get together and manipulate market, they should do better by giving the benifit to country and people so that they get more turn over in their business. But these people only have unidirectional thinking.

[Gayan Weerakoon]

Car sales guys are the biggest liars on the planet.....

It dosen't look like car prices are going up but only coming down

With more Vehicles been imported even sales of 95 octane petrol have increased compared to 90 with people with newer JDM cars opting to pump 95 octane.

Also Insurance company's are getting greater revenue from increased amount of vehicles been insured.

RMV is a busy place these days with Vehicles queing up for new registrations.

Overall the government is getting more revenue from the above points thats why they are decreasing import duty's even more.

[AsankaAuto]

Car sales guys are the biggest liars on the planet.....

It dosen't look like car prices are going up but only coming down

With more Vehicles been imported even sales of 95 octane petrol have increased compared to 90 with people with newer JDM cars opting to pump 95 octane.

Also Insurance company's are getting greater revenue from increased amount of vehicles been insured.

RMV is a busy place these days with Vehicles queing up for new registrations.

Overall the government is getting more revenue from the above points thats why they are decreasing import duty's even more.

Well done government....

Now what will happen to the buyers who have purchased vehicles at very high prices (some ppl have purchased 3 years old used cars at a price more than a same model brandnew price with fear of government increasing tax again)

ultimately some Car sale frauds and Japanese used car auctioneers collected our ordinary ppl's hard earned money.

[Watchman]

And if this is true recent shout in the market that taxes going to be raised again, and hence the price hike; had been nothing but another market manipulation, by people who run the business. When it was first posted in the forum few months ago that taxes going to reduced, people laughed at us. But it was writen here with good evidence provided by top officials.

Yours wasnt the only prediction mate.

Some said the tax reduction was only for a month or so.

Some said this was only the introductory reduction and more was coming with the budget (and it didnt come n the end, did it)

Some said the reduction would be removed as soon as the government had enough money.

Some said the reduction was only so that some people can get some vehicles for the IIFA.

Some said the 2nd hand market would crash (no crash there either)

So overall, most predictions are pretty much baseless.

Anyway I am going to make 3 predictions and i promise you at least one of them WILL come true. If i'm wrong i will buy you all a treat at the next AL meet up.

Prediction 1: Taxes will go down!

Prediction 2: Taxes will go up!

Prediction 3: Taxes will stay the same!

[Watchman]

This is part of Gov's tax simplifying strategy, Presidential tax commission and IMF have suggested for a simplified and broader tax system, as a matter of fact dividends already have paid from the 1st tax cut this year. If Sri Lanka is to make as a hub we must do it and this time Gov is on the correct art. Itz very simple less tax & all comply, more tax more frauds!!!!

Its much more than a 'suggestion'

[kaushama]

Yours wasnt the only prediction mate.

Some said the tax reduction was only for a month or so.

Some said this was only the introductory reduction and more was coming with the budget (and it didnt come n the end, did it)

Some said the reduction would be removed as soon as the government had enough money.

Some said the reduction was only so that some people can get some vehicles for the IIFA.

Some said the 2nd hand market would crash (no crash there either)

So overall, most predictions are pretty much baseless.

Anyway I am going to make 3 predictions and i promise you at least one of them WILL come true. If i'm wrong i will buy you all a treat at the next AL meet up.

Prediction 1: Taxes will go down!

Prediction 2: Taxes will go up!

Prediction 3: Taxes will stay the same!

When a topmost official of the national treasury tells something about a future policy, it does not become a prediction or a speculation any more. He revealed the plans for policy change many months before the tax reduction in many forums. The fact was posted by few people here. People who didn't want to believe it never believed it. News about next tax reduction too was published in Lankadeepa today. Again a top official of treasury! So these are not predictions just facts. Again people who does not want to believe it, will not believe it.

[Pericles]

When a topmost official of the national treasury tells something about a future policy, it does not become a prediction or a speculation any more. He revealed the plans for policy change many months before the tax reduction in many forums. The fact was posted by few people here. People who didn't want to believe it never believed it. News about next tax reduction too was published in Lankadeepa today. Again a top official of treasury! So these are not predictions just facts. Again people who does not want to believe it, will not believe it.

So taxes were cut, and import prices went up (Even for Marutis) Should we celebrate another cut?

[harshansenadhir]

When a topmost official of the national treasury tells something about a future policy, it does not become a prediction or a speculation any more. He revealed the plans for policy change many months before the tax reduction in many forums. The fact was posted by few people here. People who didn't want to believe it never believed it. News about next tax reduction too was published in Lankadeepa today. Again a top official of treasury! So these are not predictions just facts. Again people who does not want to believe it, will not believe it.

seen to believe it .. whatever happened, no matter how much was the percentage of tax cut, prices were pretty much intact and now it's rising.

I reemphasize again, tax cuts alone would not do any better to bring down prices of second hand market which we all are concern about.

[kaushama]

So taxes were cut, and import prices went up (Even for Marutis) Should we celebrate another cut?

Exactly the point! When taxes were cut, how come the import prices going up? It is not the government, then. So called Sri lankan automobile market forces!!!!!

All of a sudden the prices have gone up by good 3-4 lakhs! Reasons?? They say government is going to lift the tax reduction. But Dr. P B Jayasundara says they are going to reduce the taxes, replying to the queries about sudden price hike. People who buys vehicles in Japan say, Japanese auction prices have gone sky high after their holidays. Because Japanese knew that the taxes are going to be raised soon???? There have never been logic in Sri Lanka automobile market, except for logic to raise the prices!!!

Edited August 26, 2010 by kaushama

[Rebel]

Thats it. I'm giving up. Selling my car for the highest bidder so that I can buy a car for 1.5MN

[Sifaan]

When a topmost official of the national treasury tells something about a future policy, it does not become a prediction or a speculation any more. He revealed the plans for policy change many months before the tax reduction in many forums. The fact was posted by few people here. People who didn't want to believe it never believed it. News about next tax reduction too was published in Lankadeepa today. Again a top official of treasury! So these are not predictions just facts. Again people who does not want to believe it, will not believe it.

Yes... but isn't this the same guy who gave an undertaking to courts to never hold public office again?

[kaushama]

Yes... but isn't this the same guy who gave an undertaking to courts to never hold public office again?

They all belong to same class mate! But at least last time, he implemented what he preached. Apparently he is the mastermind behind this tax reduction.

[Gayan Weerakoon]

This just came in

http://www.adaderana.lk/news.php?nid=9531

[seeker]

But at least last time, he implemented what he preached. Apparently he is the mastermind behind this tax reduction.

Not necessarily...

There was a recomendation from world bank or IMF sometime back to review this unfair tax structure. one argument was that the private sector contributes more to the economy and therefore they deserve to get duty concessions on vehicles. It's more about the overall quality of life...

Anyway, the govt. should give a proper announcement on this tax thing and timelines... or else, end consumers as well as the govt are loosing heavily due to speculative pricing by the middlemen, not to mention the pressure on exchange rates due to increased demand..