Why not abolish the vehicle purchase tax?

The vehicle purchase tax is an important source of funding for the construction of national transportation infrastructure, and cannot be abolished.

For example, the main source of funding for the construction of highways, provincial highways, rural roads and other transportation infrastructure is the vehicle purchase tax.

The current vehicle purchase tax rate is 10%, but the purchase of new energy vehicles can be exempt from the purchase tax.

Vehicle purchase tax is a kind of tax levied on new car purchasers at a specific point in time by taking the purchase of a specified vehicle in China as the object of taxation. Paying new car purchase tax is conducive to the construction of the country and is also a citizen's duty. New car purchase tax is conducive to the reasonable raising of funds for construction, is conducive to regulating government behavior, is conducive to regulating income disparity, is conducive to combating smuggling and safeguarding the rights and interests of the country.

The tax payable on the purchase of automobiles is equal to the taxable price multiplied by ten percent, and is calculated at a reduced rate of 7.5 percent for passenger cars with a displacement of 1.6 liters or less.