CABINET APPROVES REVISED LAW ON EXCISE TAX

Ulaanbaatar /MONTSAME/ During its regular meeting on May 17, Wednesday, the Cabinet discussed and approved a draft revision to Law on Excise Tax, proposed by Member of Parliament Kh.Nyambaatar. The 2017 budget amendment set 50 percent discount on taxes imposed on hybrid vehicles, revising the excise tax law. The revision indicated that from MNT 375 thousand to 6 million 675 thousand tax would be imposed on hybrid cars on which no taxes were imposed before. The revised law came into effect on May 1, creating dispute among car dealers and their customers who had made purchase orders for Toyota Pruis cars before May 1. As such, Member of Parliament Kh.Nyambaatar proposed a revision to the excise tax law, reflecting that 0-50 percent tax be imposed on hybrid vehicles by the Cabinet. The Cabinet thus approved the revision which, if adopted by Parliament, will set the rate of tax on hybrid vehicles at 0-50 percent. Kh.Aminaa