Federal Government Reduces Vehicle Import Levies, Begins Green Tax Implementation
The Federal Government has commenced the implementation of new fiscal measures that significantly reduce import levies on vehicles while introducing a Green Tax surcharge on certain high-engine-capacity vehicles.
Under the new policy, import levies on new vehicles have been reduced from 20 per cent to 10 per cent, while levies on used vehicles have been cut from 15 per cent to five per cent. Customs duties on fully built passenger vehicles have also been lowered from 70 per cent to 40 per cent.
At the same time, a Green Tax surcharge has been introduced for petrol-powered vehicles with engines above 2,000cc as part of efforts to promote environmental sustainability. Electric vehicles, mass transit buses and smaller-engine vehicles are exempt from the new tax.The government says the policy is designed to make vehicle importation more affordable while encouraging cleaner transportation and reducing carbon emissions.
