New Truck Taxes in Hanoi: A Comprehensive Guide

Anh Tuan, a resident of Cau Giay district in Hanoi, had long dreamed of owning a truck to facilitate his construction materials business. After years of saving, he finally decided to purchase a brand new Hyundai HD88 at the Hyundai Truong Chinh dealership. However, when it came to the paperwork, he was overwhelmed by the numerous taxes and fees. It turns out, the cost of buying a new truck goes far beyond the listed price!

Anh Tuan’s story is likely familiar to many first-time truck buyers. So, what taxes are involved when purchasing a new truck in Hanoi? Let’s delve into the details with Xe Tai Ha Noi.

Taxes and Fees for New Truck Purchases

1. Special Consumption Tax (SCT)

This tax is levied on non-essential and luxury goods and services, including automobiles. The SCT rate for new trucks depends on engine displacement and vehicle type.

Example: A truck with an engine displacement between 2,500 cm3 and 3,500 cm3 will be subject to a 45% SCT.

2. Value Added Tax (VAT)

VAT is calculated on the value added to goods and services during the production, distribution, and consumption process. The current VAT rate for most goods and services, including trucks, is 10%.

Example: If the price of a truck after adding SCT is 500 million VND, you will have to pay an additional 50 million VND in VAT (10% x 500 million VND).

3. Registration Fee

The registration fee is a mandatory payment when registering ownership of a vehicle for the first time. The registration fee for trucks varies depending on the locality.

Example: In Hanoi, the registration fee for trucks is 2%, while in Ho Chi Minh City, it is 50% of the tax rate (i.e., 1% of the vehicle value).

A new truck being registered with a license plate

4. Other Fees

In addition to the main taxes mentioned above, when buying a new truck, you will also have to pay several other fees, such as:

• Vehicle registration plate fee: This fee also varies depending on the locality.
• Inspection fee: Applicable to all new vehicles before they are issued a license plate.
• Compulsory Civil Liability Insurance: This insurance is mandatory for all vehicle owners when participating in traffic.

Summary of Taxes and Fees for New Truck Purchases

Important Considerations When Calculating Taxes and Fees

• Tax and fee rates are subject to change based on government policies.
• Localities may offer specific tax and fee incentives or reductions.
• It’s recommended to thoroughly research information from dealerships or relevant authorities to avoid confusion.

Frequently Asked Questions about Taxes and Fees for New Truck Purchases

1. Do I have to pay the registration fee when buying a truck through financing?

Answer: Yes. When buying a truck through financing, you still have to pay the registration fee on the full value of the vehicle, including VAT.

2. Do I have to pay the registration fee when buying a used truck?

Answer: Yes. However, the registration fee for a used truck will be lower than for a new truck, specifically 2% for vehicles used for less than 3 years.

3. Can I handle the tax and fee payments myself?

Answer: Yes. However, handling the tax and fee payment procedures yourself can be time-consuming and challenging. Therefore, it is recommended to seek assistance from the dealership or a vehicle registration service.