COE Supply Drop!!!

[Vit4wd]

Well said!!!

 

But car distributors are painting a different picture, using scare tactics to pressure people to commit now, before GST increase.

[Caaa]

On the GST part, this is what I was told:

 

GST for AD to pay during import is different from when end user buy, thus the GST u work out is indeed the amount that AD pay but when end user buy, they would have to pay a different amount of GST (which is higher) base on different sets of figure....... (which include not just the car cost but also others).

 

However, the overall figure with the 2% increase is not as big as some SE claim

 

For those who in accounting (especially those who deal with GST intheir company) would probably know what it is all about.....

[Route88]

127,021 COEs available for May 2007 to April 2008, compared with 139,647 the previous year

Absolutely good news man , and experts predict COE might rise up to $18k to $20k

our existing cars will be valued up, and forget about to change car liao in comming 2 to 3 years

 

 

Yay

 

Lets do the dance!

 

[Ahyoo2002]

hehe, then that is car buyers problem if they believe what the car distributors said loh

[Ahyoo2002]

Huh,

 

Why got diferent set of figures, is it like 2% increase for a bowl of noddle which cost $3.5 $0.07, but very hard to calculate, let's make the increase to be $0.50 so that the noodle now cost $4

 

 

Hehe, just one illustration lah. Maybe they pay slightly more than what stated in LTA website, but I would said it is definitely not on entire car price.

[Caaa]

From your example of noodle:

 

Your work out base on LTA info is the GST "cost" pay to the supplier; the concern by car buyer on GST cost/differnce is how much when the noodle is "sold"......

 

When GST increase, the 2% additional payable is not on the "cost" (of the seller) but a figure within the selling pricing, in the case of car, yes u r right to said is NOT base on the entire car price but base on some "component".

 

In another word, the GSt that you need to pay to a company for their product is not the same as the GST of that company pay during the import or thier supplier..... hope this is clear

Edited March 11, 2007 by Caaa

[Keithpapa]

[Keithpapa]

[Liping24]

Oh...I remembered some minister mentioned that he will try to make car affordable and give many Singaporean the ability to own their car dream. And also the car population will be shifted to road usage based charging.

 

Suddenly now the rule changed again, 3% growth not sustainable. ERP not working. Road still jammed.

 

Deep down, I am confused.

[Route88]

You see,last time it was brought up to make 7 out of 10 family at least could afford or own a car.

But now...car so cheap,1 family can own 2 to 3 cars leh

[Ninervictor]

that time election mah haha...

[Boxster]

Hi,

 

From LTA website:

http://www.onemotoring.com.sg/publish/onem...e/car_cost.html

 

Under GST:

Goods & Services Tax (GST)

GST is approximately 5% (with effect from 1 Jan 2004) of the Custom Duty and OMV.

So take a car with $15K OMV, the increase of car price due to increase of GST by 2% will be

=$15K x 1.2 (Custome Duty is 20% of OMV) x 0.02 (increase of GST by 2%)

= $360.

 

Is $360 a lot compare to COE price or to the entire car price??

 

GST is never apply to the entire car price !

 

I believe that your sums is not entirely complete.

If I I buy $1000 worth of goods from overseas, I have to pay $50 gst at port.

Now I've spent $1050 I want to sell my goods at $1500 and I am a gst registered company. My buyer must pay me $1575 ($1500*1.05). I have to return the $25 gst collected.

 

For cars I understand ARF and COE are not subjected to gst.

therefore CAR price (with coe)= COE + ARF + OMV + Markup(profit)

So since ARF & COE no gst, (OMV +GST of OMV+ markup )*1.05.

So let's say I want to make a profit of $4000 for this car which has a OMV of $20000

(20000*1.05+4000)*1.05 =25250 (gst 5%)

(20000*1.07+4000)*1.07 =27178 (gst 7%)

 

Almost 2k diff.

 

But most of the time the SE say this car eg. $58K you sign you buy. It is not transparent as this is business. They may markup eg 4K per car b4 july or 3.5k after july to get more buyers depends on market conditions ,other dealers and other factors

 

You as buyer can only say last time $58 k didn't but now $60k

or

last tome $58K now $56K heng ah!!

[Ahyoo2002]

wah,

 

Your example very complicated leh

 

 

Can GST be applied on top of GST? Everytime change hand can charge one more time GST?

[Cheekg98]

[Apollo]

nothing is casted in stone..

 

when they need a bigger mid year bonus or year end bonus, they will b more then ready to cook up another excuse that public demand require more xxx to b released.

[Clazio71]

Need to control the number of cars on the roads before traffic conditions turn from bad to worse!!!

[Zniper]

it's already quite worse now...

[Quantum]

once KPE is ready, hopefully the condition will be better