Perodua Welcomes Extension Of Sales Tax Exemption Period

Perodua welcomes the extension of the sales and service tax exemption period for new cars, which was supposed to end on 30 June 2022. In a recent announcement, the Ministry of Finance (MoF) had agreed to allow car buyers to enjoy the sales tax exemption as long as their vehicles are booked by the 30 June 2022 deadline. Those who had booked their vehicles by this deadline will enjoy the waiver of the sales tax on their new car as long as their vehicles are registered with the Road Transport Department system on or before 31 March 2023.

This extension of the exemption period is also to help ease some pressure off the automotive brands as they tackle production and supply constraints while trying to meet current demand.

“We sincerely thank the government for this announcement as it gives the industry and the market breathing room to meet consumers demand while at the same time give the players time to overcome various issues that are affecting the industry,” Perodua President and Chief Executive Officer Dato’ Zainal Abidin Ahmad said.

He said among the issues that are currently impacting the local automotive suppliers range from the lingering impact of COVID-19, the component shortages and manpower shortages. “These issues are currently being addressed as Perodua and our suppliers are finding solutions and this registration extension will give us much needed room to overcome these issues,” Dato’ Zainal explained.

He also added that for the Perodua’s customers, this announcement gives them much needed reassurance that they would be able to enjoy the sales tax exemption incentive that has boosted the industry since the year 2020. “To date, we have significant outstanding orders which we are working to fulfil. We appreciate our customers’ patience in this regard,” Dato’ Zainal said.

Thus far, Perodua has managed to register 106,179 vehicles between January and May 2022. This is a 10% increase from the 96,281 units registered in the same period last year. The Perodua Myvi remains the most popular model with 31,689 units registered during this period. This is followed by the Perodua Axia (24,024 units) and the Perodua Bezza (23,336 units).