What is the registration fee for motor vehicles in Vietnam after November 30, 2024?

What is the registration fee for motor vehicles in Vietnam after November 30, 2024?

On August 29, 2024, the Government of Vietnam promulgated Decree 109/2024/ND-CP regulating the registration fee rate for motor vehicles, trailers, or semi-trailers towed by motor vehicles, and similar vehicles produced and assembled domestically.

Specifically, according to the provisions of Article 1 of Decree 109/2024/ND-CP, from September 1, 2024, to the end of November 30, 2024, a 50% reduction in the registration fee will be officially applied to motor vehicles, trailers, or semi-trailers towed by motor vehicles, and similar vehicles produced and assembled domestically.

However, from December 1, 2024, onward, the registration fee will continue to be implemented in accordance with the provisions of Decree 10/2022/ND-CP on registration fees; the current resolutions of the People's Council or the current decisions of the Provincial or municipal People's Committee at the local level regarding registration fees, and any amending, supplementing, or substituting documents (if any).

Thus, the registration fee rate for motor vehicles after November 30, 2024 is as follows:

- For motor vehicles, trailers, or semi-trailers towed by motor vehicles, and similar vehicles: The registration fee rate is 2%.

Special Cases:

[1] Passenger motor vehicles with up to 9 seats (including pick-up cars): the first-time registration fee rate is 10%. If a higher tax rate is required to suit local conditions, the Provincial or municipal People's Council will decide on an adjustment, but the maximum increase shall not exceed 50% of the common tax rate specified in Decree 10/2022/ND-CP.

[2] Pick-up trucks with a payload under 950 kg and seating capacity up to 5 seats, and VAN trucks with a payload under 950 kg: the first-time registration fee rate is 60% of the first-time registration fee rate for passenger motor vehicles with up to 9 seats.

[3] Battery electric vehicles:

+ For the first 3 years from the effective date of this Decree: the first-time registration fee rate is 0%.

+ For the next 2 years: the first-time registration fee rate is 50% of the tax rate for gasoline/diesel vehicles with the same seating capacity.

[4] Other types of motor vehicles as specified in points a, b, and c, clause 5, Article 8 of Decree 10/2022/ND-CP: from the second registration forwards, the registration fee rate is 2%, uniformly applied nationwide.

Based on the type of vehicle recorded in the Certificate of Quality, Technical Safety, and Environmental Protection issued by the Vietnam Register, the tax authority will determine the registration fees for motor vehicles, trailers, or semi-trailers towed by motor vehicles, and similar vehicles according to the above provisions.

What is the registration fee for motor vehicles in Vietnam after November 30, 2024? Image from the Internet)

What is the basis for determining registration fees for motor vehicles in Vietnam?

According to the provisions of Article 6 of Decree 10/2022/ND-CP, the basis for determining a registration fee includes the base price and the registration fee rates (%).

What are the regulations on the base price for calculating the registration fees for motor vehicles in Vietnam?

The base price for calculating the registration fees for motor vehicles in Vietnam is determined according to clause 3, Article 7 of Decree 10/2022/ND-CP as follows:

The base price for properties being motor vehicles and equivalences (hereinafter referred to as "motor vehicles) and motorcycles prescribed in Clauses 6, 7 Article 3 of Decree 10/2022/ND-CP (except for trailers or semi-trailers towed by motor vehicles, special vehicles, special motorcycles) shall be the price in the decision on the table of base price (hereinafter referred to as “the Table of base prices”) promulgated by the Ministry of Finance.

- A base price in the Table of base prices is determined on the principle that it is relevant to the existing market price at the time of development of the Table of base prices.

The existing market price for each type of motor vehicle, motorcycle (based on the vehicle type in case of a motor vehicle or motorcycle; based on the country of manufacture, brand, and the maximum payload capacity allowed to be in traffic in case of a truck; based on the country of manufacture, brand, and the number of people allowed for transportation, including the driver in case of a coach), is based on the database prescribed in Clause 2 Article 7 of Decree 10/2022/ND-CP.

- Regarding a new type of motor vehicle or motorcycle which has not yet been included in the Table of base prices at the time of submission of the registration fee declaration, the tax agency shall, based on the database mentioned in Clause 2 of Article 7 of Decree 10/2022/ND-CP, decide the base price for such motor vehicle or motorcycle (based on the vehicle type in case of a motor vehicle or motorcycle; based on the country of manufacture, brand, and the maximum payload capacity allowed to be in traffic in case of a truck; based on the country of manufacture, brand, and the number of people allowed for transportation, including the driver in case of a coach).

- If a new type of motor vehicle or motorcycle has not yet been included in the Table of base prices or a motor vehicle or motorcycle has been included in the Table of base prices but its existing market price is increased or decreased by at least 5% compared to the price prescribed in the Table of base prices, the Department of Tax of the province shall submit a consolidated report on prices to the Ministry of Finance before the 5th day of the last month of the quarter.

The Ministry of Finance shall issue a decision on an amended Table of base prices before the 25th day of the last month of the quarter in order to apply it from the 1st day of the following quarter. The amended Table of base prices is issued in accordance with regulations on issuance of the Table of base prices in Point a of this Clause or on the basis of the arithmetic mean of the base price of the local tax agencies.