Ministry of Finance proposes not to reduce 50% of registration fee for domestic cars

The Ministry of Finance has proposed considering reducing registration fees for domestically produced and assembled cars, fearing that this could violate international commitments.

Ministry of Finance proposes not to reduce 50% of registration fee for domestic cars - Photo: HUU HANH

The Ministry of Finance has just sent the Ministry of Justice a dossier for appraisal of the draft decree regulating the registration fee for domestically produced and assembled cars.

Consider not reducing 50% of domestic car registration fees

The Ministry of Finance also updated the comments of ministries, branches and localities in this dossier. Basically, the units agreed with the draft decree. In addition, the Ministry of Planning and Investment, the Ministry of Justice and the Ministry of Industry and Trade expressed concerns about the violation of international commitments.

In which, the Ministry of Finance specifically assesses the impact of reducing the tax rate by 50%. registration fee For domestically produced and assembled cars, violations of international commitments and proposed two options.

Option 1 : Consider not reducing registration fees for domestically produced and assembled cars.

Option 2: 50% reduction in registration fees for domestically produced and assembled cars for 6 months.

Based on the analysis of the advantages and disadvantages of each option, the Ministry of Finance proposes that the Government implement option 1.

According to this ministry, not reducing registration tax will comply with regulations under the principle of national treatment within the framework of the World Trade Organization (WTO) and other international treaties. free trade agreement (FTA).

50% discount policy Registration fees were implemented to support the domestically produced and assembled automobile industry for 3 years 2020, 2022 and 2023. Each reduction in registration fees for domestically produced and assembled automobiles lasted for 6 months.

To respond to violations of international commitments, the Ministry of Finance submitted to the Government to assign the Ministry of Industry and Trade to preside over and coordinate with relevant agencies to review and develop response plans in case Vietnam is sued for violating international commitments.

Source