car road tax malaysia

Some say that our road tax structure is archaic and demand an emissions-based system. One way to pay less road tax in Malaysia is to opt for a smaller engine, which usually means opting for turbocharged cars or hybrid cars. The road tax of a car can be a deal-breaker to some, and it is one of the reasons we don’t see that many V8 engines around. Used cars with big engines are a big turn off, since the annual road tax is almost half their value. So, just how expensive can the road tax be? Well, h

Arif

Jan 5, 2021

We’ve seen the launch of the Porsche Taycan and the MINI Cooper SE in Malaysia this year. They were surprisingly priced lower than our expectations. The MINI Cooper SE has a price tag of RM 218,380 and the Taycan 4S starts at RM 725,000. We did expect the MINI to be priced lower than the BMW i3s, but the Taycan is cheaper in Malaysia than it is in Thailand. The “low” price of these cars could be a result of the 10% excise tax on all electric cars as opposed to 60% to 105% for ICE cars. When we t

Arif

Sep 20, 2020

Sesetengah pihak berpendapat bahawa struktur cukai jalan (road tax) di negara kita agak melampau. Malah mereka menggesa industri untuk guna sistem yang berasaskan kadar pelepasan (emission-based). Salah satu cara untuk membayar road tax dengan murah ialah dengan enjin yang berkapasiti lebih kecil. Dalam erti kata lain, pembeli harus memiliki kereta yang menggunakan enjin turbo ataupun hibrid. Harga road tax yang mahal mungkin menjadi penghalang buat pembeli. Sebab inilah kereta dengan enjin V8 j

Faisal

Jan 8, 2021

Most of us take it for granted that road tax, by virtue of its name, goes directly into maintenance of non-tolled roads, but that's actually not true. Instead, road tax is just yet another channel of government revenue, and it's not used exclusively for road maintenance. Which begs the obvious question, what are we paying for then? Before we go further and for the benefit of those who missed our last article, here's some background. The former Director General of MIROS (Malaysian Institute of Ro

Hans

Jan 10, 2021

Ramai orang mengidamkan sebuah kereta berprestasi tinggi atau mewah. Namun, tak semua orang berpeluang memilikinya. Jadi, dengan lambakan kereta berprestasi tinggi dan mewah dalam pasaran, kereta manakah yang benar-benar lambang kekayaan pemiliknya? 1. Bugatti Chiron 8.0L – RM 24,630* 2. Rolls-Royce Phantom / Bentley Mulsanne 6.75L – RM 19,005* 3. Rolls-Royce Ghost 6.6L – RM 18,330* 4. Lamborghini Aventador/Ferrari 812 6.5L – RM 17,880* 5. Bentley Continental GT 6.0L – RM 15,630* *anggaran mengi

Haris

Jun 11, 2020

Let’s get right down to it, the top 5 most expensive road tax in Peninsular Malaysia (privately owned): 1. Bugatti Chiron 8.0L – RM 24,630 2. Rolls-Royce Phantom/Bentley Mulsanne 6.75L – RM 19,005 3. Rolls-Royce Ghost 6.6L – RM 18,330 4. Lamborghini Aventador/Ferrari 812 6.5L – RM 17,880 5. Bentley Continental GT 6.0L – RM 15,630 The figures above are not exact as engine capacities are almost never rounded to say, 6,000 cc for example, so there may be slight discrepancies. But even so, the actua

Shaun

Oct 20, 2019

If you are surprised to find out that the road tax we pay every year doesn’t contribute to paying for road repairs then safe to say you’re not alone. The fact came to light after the much-talked-about pothole accident that Minister Khairy Jamaluddin (KJ) got into just weeks ago. According to a study, 80 percent of pothole accidents happen on roads that don’t require road users to pay tolls. Malaysia has also been rated the country with the third-highest road crash deaths in ASEAN. Responding to

Jerrica

Jan 6, 2021

In a statement issued by Pos Malaysia Berhad, the Road Transport Department (JPJ) has suspended road tax renewal processes for private vehicles at all post offices nationwide. The suspension will start on 23 February 2021 and end on 31 March 2021. All other services such as renewal of driving license and vehicle insurance are still available at all post offices nationwide. Other than that, Pos Malaysia’s statement also reminded the public that the Ministry of Transport has imposed an exemption f

Jerrica

Feb 23, 2021

With news that JPJ has decided to close all offices due to the gathering of large crowds, the government is now encouraging the use of MyEG to renew their respective insurance and road taxes. If you're uncertain how the online portal works, here are a few step by step pointers. The documents that you need are: JPJ vehicle registration card Previous insurance cover note When renewing your car insurance, you will have to refer to your registration card when filling out the details. For example, wh

Jerrica

Mar 26, 2020

The Ministry of Transport (MoT) has extended the road tax renewal exemption period for private vehicles by another 2 months. The exemption period will be extended to 31 May 2021. Transport Minister Datuk Seri Dr Wee Ka Siong made the announcement to reporters at a gotong-royong programme in Parit Raja. He also reminded road users to ensure they have valid motor vehicle insurance. Also read: Renewal of road tax at Pos Malaysia counters suspended until 31 March 2021 The minister further elaborated

Jerrica

Mar 23, 2021

August 31st is upon us and that means that the grace period for road tax and driving license expiry that JPJ has allowed due to the Movement Control Order (MCO) will also be coming to an end. The Road Transport Department (JPJ) reminds all Malaysians that to renew their expired papers before the end of the period. At the point of writing, Malaysians have only 2 weeks left to get their documents in order before the grace period to renew expired road tax and driving licenses ends. JPJ director-gen

Jerrica

Aug 19, 2020

In Singapore’s Budget 2021 today, Singapore Finance Minister and Deputy Prime Minister, Heng Swee Keat announced that Singapore will introduce more incentives to encourage the adoption of electric vehicles. Channel News Asia reports that Singapore will set aside 30 million SGD over the next five years for electric vehicle related initiatives. Some of the initiatives include lowering the Additional Registration Fee (ARF) tax to zero for electric cars from January 2022 to December 2023. The move a

Arif

Feb 16, 2021

The Malaysian Anti-Corruption Commission (MACC) has arrested 7 counter officers working at the Johor Road Transport Department (JPJ). The suspects are accused of misappropriating road tax collection involving 1,000 types of vehicles. Harian Metro reports a source has confirmed with them that the suspects are made up of 5 men and 2 women aged between 27 to 42 years old. They are suspected of manipulating the MySikap system resulting in a leakage of RM 3.1 million over a 6-month period, from July

Jerrica

Feb 22, 2021

Minister of Transport, Datuk Sri Dr Wee Ka Siong, announced on his Facebook page that the Ministry of Transport will be exempting the need to renew Motor Driving License (LKM) and Competent Driving Licenses (CDL) exclusive of Vocational License from 1 February to 31 March 2021. The decision came after public concerns over the limited services at Road Transport Department (JPJ), Land Public Transport Agency (APAD), and Commercial Vehicle Licensing Board (CVLB) offices. As reported earlier, servic

Jerrica

Jan 29, 2021

It’s a frantic start of the week for many staff at car companies. Following Friday’s announcement by the Prime Minister that locally-assembled cars will be exempted from paying 10 percent sales tax while imported vehicles will see the rate reduced by half, many car companies are swamped by calls from their dealers and stakeholders asking for details on what’s the next step. Without the necessary paperwork, the Accounts/Finance division at car companies are unable to proceed or give any answers.

Hans

Jun 9, 2020

As you already know, the government has announced that all new locally-assembled (CKD) passenger cars will be exempted from paying the 10 percent sales tax starting 15-June until 31-December. Imported new cars will be given a 50 percent discount on sales tax, meaning that sales tax is still applicable, but at a lower 5 percent rate. However, this doesn’t mean that the prices of new CKD cars will drop by 10 percent. Most cars only saw a reduction of between 3 to 6 percent. Why is that so? The sim

Hans

Jun 17, 2020

Following Prime Minister Tan Sri Muhyiddin Yasin’s announcement last week with regard to the Short-Term Economic Recovery plan, Volvo Car Malaysia today released its new price list for all Volvo CKD (Completely Knocked Down) models to exclude sales tax, effective 15 June to 31 December 2020. Nalin Jain, Managing Director of Volvo Car Malaysia, said: “We fully welcome the introduction of the sales tax holiday and are grateful for the opportunity to pass on the full benefits to our customers. The

Brian

Jun 12, 2020

Road Transport Department (JPJ) announced today that they will not be taking action against Malaysians whose road tax and licenses expired during the Movement Control Order. According to JPJ Director-General Datuk Seri Shaharuddin Khalid, a total of 2,119,653 road tax and 2,184,508 driving licenses expired between 18 March to 14 June 2020 have yet to be renewed. “JPJ will not take action as they (drivers and vehicle owners) are exempted from renewing their driving licences and road tax under the

Jerrica

Jun 17, 2020

Despite the existing incentives for electric vehicles in Thailand, Finance Minister Arkhom Termpittayapaisith wants the Excise Department to reconsider which components of EVs deserve improved tax reductions to make them more enticing to consumers. Electric cars in Thailand are already on a three-year tax holiday under the current excise tax structure in Thailand. (Jan 1 2020 to Dec 31 2022). This applies to car makers granted with Board of Investment (BoI) privileges*. * Manufacturers that did

Arif

Nov 17, 2020

The Ministry of Finance (MoF) has set up a committee to study various revenue enhancing measures including the possibility of reintroducing the Goods and Services Tax (GST) and imposing new taxes like carbon tax. In a note from Maybank Investment Bank (Maybank IB) Research, Finance Minister Tengku Datuk Seri Zafrul Abdul Aziz was quoted as saying that MoF is also analysing other aspects of the taxing system. Amongst them included analysing weaknesses in the current tax regime and impact of new t

Jerrica

Nov 23, 2020

Following the announcement of a tax waiver for locally-assembled vehicles, auto stocks are revving hotter as the market anticipates higher demand. As reported by The Edge, Bermaz Auto Bhd’s share price rose by 8.11% or 12 sen at RM1.60 where some 4.1 million shares transacted. Tan Chong Motor Holdings Bhd, involved in assembly and marketing of motor vehicles and manufacturing of auto parts, had its share price increased 2.59% or 3 sen at RM1.19 per share. MBM Resources Bhd with its associate com

Mersita

Jun 10, 2020

Honda Malaysia announced the reduction in prices for Honda cars following the Government of Malaysia’s announcement of 100% sales tax exemption on Completely Knocked Down (CKD) models and 50% sales tax exemption on Completely Built Unit (CBU) models in the Short-Term Economic Recovery Plan (PENJANA). With the relevant adjustments made, the prices of Honda’s CKD models, namely the Jazz, New BR-V, City, HR-V, New Civic, CR-V and All-New Accord will reduce between RM 2,788.46* and RM 8,545.63*. Mea

Arif

Jun 15, 2020

Prices of electric vehicles (EVs) in the near future could be cheaper, as a draft roadmap by the Malaysian Green Technology and Climate Change Centre (Greentech Malaysia) revealed. As part of the upcoming roadmap aptly called Low Carbon Mobility Blueprint (LCMB), one of the proposals is to waive excise duty and import tax for up to 100,000 units of EVs until 2022. Though curiously, if you take a look at the LCMB booklet (which can be downloaded on MGTC's website), the figure changes to 10,000 un

Eric

Apr 19, 2021

The Thailand government and car companies will meet in January 2021 to discuss a proposal to increase the tax on combustion engine vehicles. Bangkok Post reports that the proposal is part of the effort to promote electric vehicles and reduce air pollution in Thailand. The current excise tax structure is due to end in 2025, hence the proposal for the tax hike for combustion engine vehicles. Electric cars in Thailand are currently enjoying a 3-year tax holiday, and the proposed tax hike (for combu

Arif

Dec 18, 2020

Yet another car was caught driving in the wrong direction! And this time it happened at the very busy LDP Puchong toll right before the exit to Sunway Pyramid. The viral video showed an unidentified white car speeding towards the LDP toll on the wrong side of the road, while an auxiliary police tow truck is seen chasing after the car on the other side of the road. According to Harian Metro, the car might have already travelled at least 10 km on the wrong side of the highway. The auxiliary police

Jerrica

Jul 13, 2020

Earlier this week, The Star published an article “Locally assembled cars may cost more.” The article claims that prices of locally-assembled (CKD) cars will cost more due to potential restructuring in tax structures. Yes, the claim mentioned by the English daily is true. WapCar’s own sources within the automotive industry have also confirmed the claim. The reason behind the increase in prices is due to two factors: Withdrawal of EEV incentives and changes in Open Market Value (OMV) calculation –

Hans

Jan 15, 2020

Pictures from autonetmagz (sourced from Car Spotting TH) show the adorable Honda e spotted on a truck bed in Thailand. With the MINI Cooper SE already entering the SEA market (and being sold out in Malaysia), could it be that the Honda E is finally making its way to our region? The answer is no. We’d really love to see that happen, but Honda has clearly stated that the Honda E is strictly for Europe and Japan only. Even in the land down under (where 100 units of the MINI Cooper SE were sold out)

Arif

Sep 22, 2020

Following its success in Australia (100 units sold out), the 25 units of the MINI Cooper SE have been sold out in Malaysia. Launched in Malaysia less than a month ago, the electric MINI was only available in the three-door option. The MINI Cooper SE’s price tag of RM 218,380 is lower than what we expected it to be. The attractive price could be the reason for its success in Malaysia. The BMW i3s is priced much higher than that. Being an electric car, the road tax of MINI is charged by the amount

Arif

Sep 18, 2020

While we wait for Perodua to announce details on prices and specifications of its upcoming Perodua D55L compact SUV, Indonesia’s tax office’s website has uploaded its latest Motor Vehicle Sales Value (NJKB, Nilai Jual Kenderaan Bermotor), which includes the Toyota Raize and Daihatsu Rocky, both are donor cars to the Perodua D55L. NJKB is basically a car’s gazetted before tax value used by their Customs. It is not a car’s selling price but it does provide a rough indication of what’s the Perodua

Hans

Feb 16, 2021

This is a surprise to everyone, good or bad, it depends on how you see it. In a document sighted by WapCar.my, the Ministry of Finance has just announced today that existing sales tax (SST) exemption/discount for new and reconditioned cars under the Penjana stimulus package will be extended until 30 June 2021. The announcement supersedes an earlier reply by the Ministry made on 23-December, denying the Malaysian Automotive Association’s (MAA) appeal to extend the SST exemption/discount, which wa

Hans

Dec 29, 2020