can you believe this? The cost of automobiles in Ethiopia spiked as a result of imposed tax. The imposed tax is trebled
Posted: 18 Dec 2019, 08:25
Honestly, it is very unbelievable. How could you expect the imposed tax eclipse the cost of the car in very great margin? Here is evidence which is obtained car importer and seller:
The new excise tax envisaged to impose tax from 100-500%. That is :
Used cars for 0-1 years--------- 100%
1-2 years----------150%
2-4 years----------200%
4-7 years----------300%
>7 years-----------500%
In this way, we can approximate the cost of car manufactured in 2010. For example Toyota model of 2010 costs 250,000. Using the above calculation excluding transportation of the car and insurance, the cost of the car is about 2. 5 million birr!!
The new excise tax envisaged to impose tax from 100-500%. That is :
Used cars for 0-1 years--------- 100%
1-2 years----------150%
2-4 years----------200%
4-7 years----------300%
>7 years-----------500%
In this way, we can approximate the cost of car manufactured in 2010. For example Toyota model of 2010 costs 250,000. Using the above calculation excluding transportation of the car and insurance, the cost of the car is about 2. 5 million birr!!