Duty on vehicles unchanged, 'annual registration charge' for 2-wheelers up

KATHMANDU, July 13:

The prices of four-wheelers will remain unchanged while that of two-wheelers will go up slightly after the announcement of the budget for Fiscal Year 2014/15.

The government left the excise duty it charges on all vehicles unchanged while raising an annual registration charge.

“The government kept excise duty unchanged as per our request. Now we can hope that the industry will grow smoothly in the future,” Shekhar Golchha, president of Nepal Automobile Dealers’ Association, told Republica.

The government levies 60 percent excise duty on four-wheelers and 40 percent on two-wheelers.

The budget, however, raised annual registration charge on two-wheelers by Rs 1,000. With the fresh hike, the annual registration charge for two-wheelers of up to 125cc, 125cc-250cc and above 250cc have reached Rs 7,000, Rs 8,000 and Rs 9,000, respectively.

“With the hike in registration charge, two-wheelers might get dearer by around Rs 2,000,” Gopi Neupane, general secretary of NADA, said. He also expressed dissatisfaction with the government for not lowering excise duty on automobile spare parts.

At present, the government levies 5 percent excise duty on automobile spare parts.

Source: Republica