The Vehicle Acquisition Tax Law was promulgated in 2018 and entered into force on July 1, 2019.

There are 19 articles in total.

The key points are as follows:

1.Any entity or individual that acquires an automobile, a tramcar, a trailer, or a motorcycle with a gas replacement of over 150 milliliters (Article hereinafter collectively referred to as “taxable vehicles”) in the territory of the People’s Republic of China shall be the taxpayer of the vehicle acquisition tax, and pay the vehicle acquisition tax.(Article 1)

2.Acquisition means the act of acquiring a taxable vehicle for the acquirer’s own use by purchase, import, self-manufacturing, receipt as a gift or award, or other means.(Article 2)

3.The rate of the vehicle acquisition tax shall be 10%.(Article 3)