Vietnam’s 2021 Car Tax Reduction: A Missed Opportunity?

The year 2021 witnessed an unprecedented car buying frenzy in Vietnam, fueled by the government’s 50% reduction in registration fees for domestically assembled vehicles. People rushed to purchase cars, racing against time and hoping to capitalize on the significant savings. But is this tax break still available this year?

Immediately after the policy was announced, Mr. Minh, a resident of Hanoi’s Cau Giay district, quickly decided to purchase a van for his goods transportation business. He shared, “Thanks to the tax reduction, I saved a considerable amount, enough to reinvest in my business. The Vietnamese automobile market has become increasingly vibrant, demonstrating the policy’s strong appeal.”

Who Benefited from the 2021 Car Registration Fee Reduction?

According to Nguyen Van An, author of “The Transportation Business Guide,” “The 50% reduction in registration fees only applied to cars manufactured and assembled domestically. This was the government’s effort to stimulate consumer spending and support the domestic automobile industry in overcoming the challenges posed by the COVID-19 pandemic.”

Eligible Vehicle Types:

• Passenger cars
• Vans
• Light trucks, such as 1-ton, 2-ton, and 3.5-ton trucks
• 8-ton trucks

The 50% Registration Fee Reduction: Fact or Fiction?

Many mistakenly believe that the 50% registration fee reduction applied to all types of vehicles. However, only domestically produced or assembled cars with proper documentation proving their origin qualified for this incentive.

Important Note:

• The 50% registration fee reduction policy expired on December 31, 2021.
• Currently, the car registration fee has returned to 10% for vehicles in Hanoi and several other provinces. The remaining provinces apply a 5% rate.

Riding the Wave: Was it Worth It?

Capitalizing on the tax break was a decision that required careful consideration. If you had a genuine need and sufficient financial capacity, purchasing a car during that period was entirely reasonable. However, avoid rushing into a purchase solely due to the hype, as “a bad buy is worse than no buy at all.”

Before Bringing Your “Dream Car” Home:

• Clearly define your needs for the vehicle.
• Carefully consider your financial capabilities.
• Thoroughly research different car models, comparing prices, advantages, and disadvantages.
• Choose a reputable dealer to ensure your rights are protected.

Want to learn more about the procedures involved in buying a new car? Contact XE TẢI HÀ NỘI for detailed advice!

Conclusion

While the 2021 car registration fee reduction policy has ended, the automobile market remains promising and attractive. XE TẢI HÀ NỘI is always with you on your journey to find the perfect vehicle. Contact us via hotline 0968239999 or email [email protected] for 24/7 advice and support.

XE TẢI HÀ NỘI – Your trusted source for all your truck needs!