Automobile purchase tax incentives are likely to be cancelled next year

At the end of this year, the country will expire two preferential policies for automobile consumption. One is the 2.5% preferential purchase tax for small-displacement vehicles, and the second is the replacement policy for cars. Will these two policies continue next year? Most automotive industry analysts have analyzed that vehicle purchase tax concessions are likely to be abolished, and it is unclear whether or not the vehicle replacement policy will be delayed.

In addition, after the country implements a policy of “suppressing growth and small gains” for the realization of energy-saving and emission-reduction targets in the automobile consumption tax, next year the tax for vehicles and boats will also implement a step-by-step tax rate that “suppresses great benefits”. However, the 3,000 yuan subsidy policy for energy-saving cars will continue to be implemented next year due to the implementation plan for three years.

Moreover, recently, the state raised the deposit and loan interest rate of banks by 0.25 percentage points. Experts believe that the slight increase in interest on car loans will not have a great impact on the demand for car loans from consumers.

â–  Cancellation of purchase tax incentives will stimulate small-displacement sales at the end of the year

The reporter learned from conversations with manufacturers such as Jianghuai and Guangzhou Automobile Honda that many automobile manufacturers believe that the 2.5% preferential tax policy for vehicles with a purchase price of 2.5% or less is likely to be cancelled in 2011. The state will focus on energy-saving vehicle subsidies. Implementation.

Li Jianhua, deputy general manager of Jianghuai Passenger Vehicle Marketing Co., said that the fourth quarter is the traditional peak season for automobile sales, coupled with consumer expectations for the cancellation of purchase tax incentives. It is expected that the sales of small-displacement cars will appear before the end of the year. . He believes that a series of policies such as the purchase tax concessions of the country have drastically boosted the consumption of small and medium-displacement vehicles based on self-owned brands over the past two years. China has become the world’s largest automotive market with over 13 million annual sales, but with The inaccessible road infrastructure and the congestion in big cities will allow the country to rethink the policy orientation of stimulating auto consumption. He and many people in the industry expect that after the expiry of the purchase tax preferential policy on December 31, it is likely to be terminated next year.

The relevant person in charge of Guangqi Honda also believes that the purchase tax preferential policies for small-displacement vehicles are unlikely to continue. The expansion and revision of the list of policy subsidies for energy-saving vehicles will be the key task for the country to encourage “energy conservation and environmental protection” next year.

â–  Taxes for Taxes on Large-displacement Vehicles Due to Taxes on Vehicles and Boats Will Rise

Recently, the State Administration of Taxation published on its official website a draft of the travel tax reform. In 2011, China’s tax on vehicles and boats will be subject to a 7-speed tax rate, in which cars are taxed according to the size of their displacements, and their emissions are small with low taxes and large displacements. The high taxation further demonstrates the country’s policy direction in supporting small-displacement vehicles.

According to Jia Xinguang, a famous car commentator, the taxation of vehicles and boats is a property tax levied every year. The implementation of a step-by-step tax rate next year will have a certain role in promoting the purchase of small and medium-displacement cars by the public, but the inhibitory effect on high-spending consumers is not necessarily obvious. . Therefore, he said that the impact of the tax reform on the auto market should be limited, but it also expresses the government's taxation strategy for energy conservation and emission reduction. At present, the taxation of the passengers and boats for the five small cars is 440 yuan/year. It will be more scientific to collect taxes in seven grades in the future. I hope to reduce the burden on some small-displacement car owners.

â–  The increase in car loan interest rate does not affect car demand

Last week, the People's Bank of China announced that the latest bank deposit and lending rates have been raised by 0.25 basis points. Mr. Yang, an auto industry insider, told reporters that the purpose of the national rate hike is to ease the pressure of inflation and restrain prices from rising. This slight adjustment in loan interest rates has little impact on consumers who plan to purchase cars in installments.

At the same time, in addition to the bank car loan business, many joint venture brands have auto finance companies. Their interest rates are market-oriented and they are sales services for auto brands. Many car companies have introduced policies with zero interest rates. There is a "zero handling fee" discount, so for some users who borrow cars, car purchases are their "rigid demand" and there is not much impact on bank interest rate hikes. Mr. Yang expects that the fourth quarter will be the peak season for car purchases. Car dealers will continue to have a zero-rate zero-plus fee promotion policy.