OM MY MAMMAK FATHER IS FROM KERALA INDIA! CAN YOU BELIEVE THAT A MUSLIM INDIAN HAS BEEN OUR PM FOR SO LONG AND UMNO SUPPORTED THIS. WHA WHY CANT PKR TAKE OVER. OMG
Cuts in duties for cars from Japan, Australia imminent
KUALA LUMPUR, Feb 27 — Putrajaya will announce a cut in car duties from Japan and Australia tomorrow, which would mean zero duties after three years similar to cars from Asean nations.
The Star Online quoted Minister for International Trade and Industry, Datuk Seri Mustapa Mohamed, as saying today that the reduction would span three years for car models originating from the two countries.
He declined to elaborate further and told the news portal that more details would be released tomorrow.
Malaysia exports Proton cars to Australia now, but does not import many vehicles from the Commonwealth country.
The Malaysian Insider understands that under the Malaysia-Australia Free Trade Agreement (FTA) which came into effect on January 1, Putrajaya has committed to cut duties from 15 per cent in 2013 to 10 per cent in 2014 and 5 per cent in 2015 with zero duties in 2016.
The Edge, meanwhile, reported that the move is seen as a response to Pakatan Rakyat’s promise to make cars cheaper through the reduction of various car taxes as stated in their election manifesto.
Malaysia is also a signatory to the Asean Free Trade Area (AFTA) agreement, which will liberalise the automotive industry by the end of 2015 through the removal of taxes on vehicles with at least 40 per cent Asean regional value content.
......but still high...why?
Read please...
Lets not get too excited at this attempted theft if a PR policy.
Lets see what is announced tomorrow.
The problem is not just import duties.
The corrupt Approved Permits issued to UMNO cronies is also a major cost as are the excise duties at between 75%-105% of the cost if the vehicle and the 10% sales tax.
A high end BMW 5 Series sells in Europe for RM190,000 before tax, a less well specified BMW 5 Series sells in KL for RM 598,800. The Rakyat pays over RM400,000 on a new BMW to UMNO Cronies and in Tax.
Remove all APs and open the market up to free enterprise. An entrepreneur could import the cars, still pay the same levels of tax to the government and be able to sell BMWs for about RM100,000 less than today. Obviously it would be nice to see taxes reduced too, but lets open this market up first and remove this cancerous non-productive tax (UMNO rent) on society that only benefits umno cronies.
The Calculation
BMW 5 Series configured with high specifications retails at RM190,000 in Europe before tax, obviously the cost price to the dealer is less.....
Shipping RM3000 Insurance during shipping RM1000
Customs Value (RM190,000+RM3000+RM1000 = RM194,000)
Import Duty RM194,000 x 30% = RM58,200
Excise Duty RM194,000 x105% = RM203,700
Sales Tax @10% x (RM194,000+RM58,200+RM203,700 = RM455,900) = RM45,590
Total RM501,490
AP Costs (given to cronies for free) and added to the end consumer as rent = RM97,310
BMW sold in Malaysia for a Grand Total RM598,800
16% of the cost of a new car is UMNO rent money
Lets reduce car costs from allcountriesof the world but keep the tax money rolling into the treasury simply by voting UMNO out of power.
.....so how much is UMNO cronies getting?????
Thank You Pakatan Rakyat! BN is now copying your manifesto and we can expect lower car prices to be announce tomorrow!
This lousy does noting at all & so high car taxes where a BRAND NEW Toyota Camry 2.4 cost RM70k in U.S. now cost RM160k in Malaysia....DAMN THIS UMNO!!!!
This Rafizi Ramli guy should be groomed to take over Anwar. He is the better bet for PM candidacy in the long run! I like his style of exposing BN's corruptions.
He just have to be careful not to be exposed his recklessness and eager to "expose" BN too fast! a possible Tan Chee Khoon in the making?
Put GE13 in stocking picture. GE13 TA speaking is sideline, so buy or sell? To me, either BN or PR win, make no difference at all, our nation FA is still the same. Resources remain, businesses on going, Rakyat life go on as usual, market SURE back to normal, thus conclusion is BUY and accumulate on low...wait for the harvest. The outcome is BN win, profit on rebound, but I think IF PR win, profit Big ..big. Seem FI is in favour of the market then, will it??
To me if u have some profit sell first and change ur portfolio to consumer sector.ge on april..najib bubar end of march.so market still up and support at 1600..so dont think about who win or loss.. market usually up n down..so if u fear run n exit from market..keep ur money .
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Posted by Ram Cheong > 2013-02-26 21:51 | Report Abuse
hmmmm , predicting the results of GE13 is like predicting on share market . ........... more often than not its screw up