New Custom Tariff On Import Vehicle

[Sameer78]

Hi Guys,

does any of you know about latest Custom Tariff On Import Vehicle after the 2011 budget proposals.

As I heard Government going to reduce VAT from 20% to 12%. will this VAT affect from 23rd November 2010 or 1st January 2011?

What about the other Taxes such as excise duty,NBT, RIDL & SRL? when will it come to effect?

Specially I want to know about motor car in 1000 - 1600 CC category.

Thanks

[Gummybr]

Hi Guys,

does any of you know about latest Custom Tariff On Import Vehicle after the 2011 budget proposals.

As I heard Government going to reduce VAT from 20% to 12%. will this VAT affect from 23rd November 2010 or 1st January 2011?

What about the other Taxes such as excise duty,NBT, RIDL & SRL? when will it come to effect?

Specially I want to know about motor car in 1000 - 1600 CC category.

Thanks

VAT was reduced to 12% and RIDL & SRL were taken out of the quation. NBT change wont happen till next year (1st January). But with the increase in the excise duty (upto 73%) the total duty percentage remain the same. A below 1600cc car total duty percentage will be around 116-117%.

The main aim of taking out certain duties was to reduce the number of taxes that were imposed on imports and to make it simple, due to this we now only have 5 duties to pay at customs namely

a. Customs duty

b. PAL

c. VAT

d. Excise Duty

e. NBT

But I can tell you that the formula used is still not very simple as it still imposes tax on taxes.

[autoudi]

Hi Guys,

does any of you know about latest Custom Tariff On Import Vehicle after the 2011 budget proposals.

As I heard Government going to reduce VAT from 20% to 12%. will this VAT affect from 23rd November 2010 or 1st January 2011?

What about the other Taxes such as excise duty,NBT, RIDL & SRL? when will it come to effect?

Specially I want to know about motor car in 1000 - 1600 CC category.

Thanks

Download pdf "Chapter 87(Vehicle) of Tariff 2011." here

"reduce VAT from 20% to 12%" - CORRECT

Tax reductions are in immediate effect

For 1600CC-2000CC category (HS Code: 8703.23.59)

Excise duty : 27% -> 47%

VAT : 20% -> 12%

[rangerover]

what is it for between 1600cc - 2000cc and 2000cc - 2400cc? is it 124% and 154% respectively?

[Electric Dreamer]

Does anyone know whether NBT reduction from 3 to 2 percent has come to affect yet ?

[mdsjw03]

Does anyone know whether NBT reduction from 3 to 2 percent has come to affect yet ?

http://www.customs.gov.lk/tariff/chapter872011.pdf

Use the taxes and apply in http://www.customs.gov.lk/tariff/Tariff%20Calculator.xls to get the taxes.

So, for an example engines with less than 1600CC TAX is 121%.

[Hani]

http://www.customs.gov.lk/tariff/chapter872011.pdf

Use the taxes and apply in http://www.customs.gov.lk/tariff/Tariff%20Calculator.xls to get the taxes.

So, for an example engines with less than 1600CC TAX is 121%.

As my knowledge its needs to be 131.28%

A B F E D C G H I J

CID Surg. PAL Cess VAT Excise RIDL SRL NBT Total Duty as% of CIF

30.0% 0% 5% 0% 12% 37% 0.0% 0.0% 3% 131.2882%

however their is significant reduction cause of the new depreciation table

[mdsjw03]

As my knowledge its needs to be 131.28%

A B F E D C G H I J

CID Surg. PAL Cess VAT Excise RIDL SRL NBT Total Duty as% of CIF

30.0% 0% 5% 0% 12% 37% 0.0% 0.0% 3% 131.2882%

however their is significant reduction cause of the new depreciation table

Oh dear... there are two tables. I was using the second. Using the first gives another answer. What is wrong with our customs people.......... More confusion........

Edited December 12, 2010 by mdsjw03

[mdsjw03]

Oh dear... there are two tables. I was using the second. Using the first gives another answer. What is wrong with our customs people.......... More confusion........

I think the second table is the correct, according to http://www.customs.gov.lk/tariff/formula_2011.pdf

[mdsjw03]

I think the second table is the correct, according to http://www.customs.gov.lk/tariff/formula_2011.pdf

Any update on NBT reduction ?

[BLu3HaZe]

Well the customs site seems upto and the older proposed taxes in http://www.customs.gov.lk/tariff/chapter872011.pdf effective.

So for the usual 1.5 cars most people seem to care about, if I'm not mistaken the code is 8703.22.59 and NBT is 3%? Total tax in table is 87% but must be inaccurate as there are taxes on taxes etc.

For people who make new tax threads over and over again - It'd be much appreciated if you could all stick to one thread for the reason explained my most members, thanks! And I doubt that everyone who are so much concerned about taxes will actually buy a new car, just cuz taxes have gone down a bit...

[mdsjw03]

Well the customs site seems upto and the older proposed taxes in http://www.customs.gov.lk/tariff/chapter872011.pdf effective.

So for the usual 1.5 cars most people seem to care about, if I'm not mistaken the code is 8703.22.59 and NBT is 3%? Total tax in table is 87% but must be inaccurate as there are taxes on taxes etc.

For people who make new tax threads over and over again - It'd be much appreciated if you could all stick to one thread for the reason explained my most members, thanks! And I doubt that everyone who are so much concerned about taxes will actually buy a new car, just cuz taxes have gone down a bit...

In the budget speech it was proposed to reduce NBT from 3% to 2%. (Please refer page 57 of the budget speech.) When are they going to implement it?

Edited December 28, 2010 by mdsjw03

[BLu3HaZe]

No info on that anywhere, even tried contacting some at the customs and they're unaware of such a reduction, though yes it was discussed here before. And as you see, there are many sudden changes of decisions as this is SL, the customs site shows that well. Not all proposals have been implemented, and even if it was, the people who are calculating taxes would have to be informed with a hard copy.

[Sifaan]

In the budget speech it was proposed to reduce NBT from 3% to 2%. (Please refer page 57 of the budget speech.) When are they going to implement it?

afaik Jan 1st.

[mdsjw03]

afaik Jan 1st.

reducing vat to 8%, nbt to 2%, but are they going to increase some other tax ?

!!!!!!!!!!!!

[mdsjw03]

reducing vat to 8%, nbt to 2%, but are they going to increase some other tax ?

!!!!!!!!!!!!

not 100% sure about vat