General Department of Taxation reduces 50% registration fees for domestically manufactured cars

	Ministry of Finance submits draft decree on registration fee for cars to the Government
	With reduction of registration fee, consumers will save up to VND300 million
	Draft Decree on reduction of registration fee

A 50% reduction of registration fees for domestically manufactured and assembled cars is officially applied. Photo: Ha Phuong

On June 28, the Government issued Decree No. 70/2020 / ND-CP stipulating the registration fee rate equal to 50% of the fee rate prescribed in Government’s Decree No. 20/2019 / ND-CP amending and supplementing a number of articles of the Government's Decree No. 140/2016 / ND-CP on registration fees and resolutions promulgated by People's Councils or current decisions of People's Committees of provinces and centrally-run cities on the registration fee rates in their localities for domestically manufactured and assembled cars till the end of December 31, 2020.

Decree No. 70/2020 / ND-CP takes effect from June 28, 2020.

In order to implement this Decree, the General Department of Taxation requests the tax departments to instruct provincial tax branches in the province to promptly apply new registration fees to stimulate domestic consumption under the direction of Government at Resolution No. 84 / NQ-TTg dated May 29, 2020.

It is the first time the registration fee for cars, trailers or semi-trailers pulled by cars and similar vehicles manufactured and assembled domestically is equal to 50% of the registration fee for these vehicles specified in Decree No. 20/2019 / ND-CP and decisions of the People's Committees of provinces and centrally-run cities.

The reduced registration fees are applied from the effective date of this Decree until the end of December 31, 2020.

50% reduction of registration fees to rev up domestic car sales VCN - Theapproval of slashing the registration feesby half for domestically-produced or assembled cars by the Government is ...

Earlier, when carrying out public consultation on the draft decree, the Ministry of Finance received 47 comments, of which 14 comments came from ministries and agencies; 27 comments from local authorities; six comments from other associations, businesses and organizations. Basically, all of them agreed with the need and contents of the draft decree (40 of 47 totally agreed).