September 29, 2015, Chinese Premier Li Keqiang chaired a State Council executive meeting, the meeting decided from October 1, 2015 to December 31, 2016, for the purchase of 1.6 liters and below passenger car implement halved vehicle purchase tax preferential policies, and the implementation of new energy vehicles are no longer limited line restriction policy.
1. The purchase tax policy
September 29, 2015, Chinese Premier Li Keqiang chaired a State Council executive meeting to determine the support for new energy development of small cars and measures to promote structural adjustment expanding domestic demand. The meeting held that the promotion of new energy sources and development of small cars, excessive emissions out of the car, help alleviate the pressure of energy and the environment, promote the automobile industrial structure optimization and upgrading of consumption, and cultivate new economic growth point.
The meeting proposed three specific measures:
1, new energy vehicles to support sound policies to support the battery, a fuel cell vehicle research and development, to carry out an intelligent network linking vehicle demonstration pilot. Around the implementation of new energy vehicles shall not limit line, restriction, imposed should have been canceled.
2, 2015October 1 to December 31, 2016, for the purchase of 1.6 liters and below passenger car emissions, the implementation of preferential policies halved vehicle purchase tax.
3, accelerate the elimination of operational emission vehicles, to carry out rectification special action. To allow local governments to make an inventory of the stock of financial funds to promote the phase-out, to ensure that by 2017 the country basically out emission vehicles.
2. The purchase tax rate algorithm
The proposed purchase tax reduction policy, from October 1, 2016 on December 31, the purchase of 1.6 liters or less displacement (including turbocharged) implementation of preferential policies passenger vehicle purchase tax levied by half.
At present, the vehicle purchase tax rate is 10 percentage. Due to the current prices include VAT, so the vehicle purchase tax levied at the time, 17 percent VAT must first be removed. Therefore, purchase tax invoice price = ÷ 1.17 × acquisition rate. $ 150,000 to buy a car, for example, the formula is 150000 ÷ 1.17 × 0.1 = 12821 yuan.
