New: Base price of cars and motorcycles for calculation of the registration charge from January 01, 2017 in Vietnam

The base price of cars and motorcycles for calculation of the registration charge shall be the actual market-based transfer price as prescribed in Point a Clause 2 Article 6 of Decree No. 140/2016/NĐ-CP of Vietnam’s Government.

If the actual market-based transfer price is lower than the base price for registration fee calculation as defined by the Ministry of Finance, the base price prescribed by the Ministry of Finance shall determine the registration fee.

If at the time of submitting the registration fee declaration, the actual transfer price on the market increases by 20% compared to the current price list or the registration fee calculation price is not specified in the price list, then based on Circular No. 301/2016/TT-BTC of the Ministry of Finance of Vietnam.

In case the types of cars and motorbikes are not specified in the Price List issued by the Ministry of Finance, the Tax Department notifies the Tax Departments of the price to calculate the registration fee to apply uniformly in the area.

Circular No. 301/2016/TT-BTC also states that when receiving information about cars and motorbikes that are not specified in the Price List or the actual transfer price of cars and motorbikes has changed compared to the Price List, the General Department of Taxation, based on the information sources specified in Article 4 of this Circular and the price level of cars and motorbikes with common transactions, considers amending, supplementing or adjusting the Price List according to the provisions of Point b Clause 2 Article 6 of Decree No. 140/2016/NĐ-CP dated October 10, 2016 of Vietnam’s Government.

The price list for calculating registration fees for cars and motorbikes issued with this Circular applies to cars and motorbikes when registering ownership and use rights with competent state management agencies from January 01, 2017.

Source: Phap Luat Newspaper

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