Adjustments to the additional registration fee system mean owners of high-end luxury cars will soon pay more in taxes.
DEMAND FOR LUXURY CARS UNLIKELY TO DECREASE
She pointed out that the luxury cars segment “remains affordable” for such buyers even with the ARF adjustments. “In the case of high-end vehicles in Singapore, it is well known that sellers have extremely large margins – the difference between the retail price and the cost of sales – generally in the tens to hundreds of thousands of dollars for the most expensive vehicles,” said Associate Professor Walter Theseira who teaches economics at the Singapore University of Social Sciences.
“For that segment of the market, it will probably be macroeconomic factors relating to their sources of wealth, such as property and stocks, that will be more important in determining sales than this ARF increase.” “This group may be generalised into two subgroups: One who will buy these cars because they are financially in the position to do so, and the second are those who may be buying the lower end of the luxury car range due to their net wealth growth and decide that it is okay to pay more for the luxury branding,” he said.
Ms Luo and Carro’s Mr Tan also highlighted that the second-hand market could see a spike in demand, with used cars that have OMVs above S$80,000 becoming more attractive compared with new cars.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Impact of rise in buyer’s stamp duty falls mainly on luxury properties: AnalystsSINGAPORE: A rise in the buyer’s stamp duty (BSD), announced in the Budget on Tuesday (Feb 14), will affect mainly high-end luxury properties, property agents and analysts said. Property agents said that there were some transactions for properties of higher value that were brought forward but no great ru
Read more »
Budget 2023: Baby Bonus boost welcome, but not a game-changer for undecided couples: AnalystsMeasures range from more cash gifts and grants to reliefs and paternity leave. Read more at straitstimes.com.
Read more »
Housing demand may shift to HDB resale market after Budget grant boost, say analystsBudget 2023's measures should alleviate some of the concerns of young families getting their first homes, according to analysts.
Read more »
Budget 2023: Buyer's stamp duty to increase for higher-value propertiesSINGAPORE: The buyer's stamp duty rate will increase for both residential and non-residential properties of higher value, Deputy Prime Minister Lawrence Wong said in his Budget speech on Tuesday (Feb 14). Buyer's stamp duty is a tax paid on documents signed when one buys or acquires property in Singapore.
Read more »
Budget 2023: Tax on all tobacco products increase by 15%Find out how much extra revenue will be generated per year from this increased tax 🚬💰
Read more »
Gas price increase: DawnThe paper says it is unfortunate that no government has ever had the political will to solve Pakistan’s economic issues. Read more at straitstimes.com.
Read more »