In his budget presentation in the parliament on Monday afternoon, Finance Minister Larry Howai said there would be a 25% tax increase on the cost of new and foreign used vehicles.
In an immediate response to this announcement, President of the Foreign Used Car Dealers Association, Visham Babwah told News Power Now that the Minister’s revelation will not impact heavily on the foreign used market as most of the vehicles imported by the association fall beneath the 25CC benchmark on which the increased taxation will apply. He said most diesel engines are 25 CCs and over. He said when the association receives the revised approval for those vehicles, there might be some impact, however for now, customers need not worry too much.
Mr. Babwah said his hope is that more can be done to curb the present crime situation, as many persons had in fact shown interest in investing locally, but crime continues to be a deterrent.