The taxpayers of purchase tax are units and individuals who purchase (including purchase, import, self-production, donation, prize or other means for their own use) taxable vehicles. The scope of taxation is automobiles, motorcycles, trams, trailers and agricultural transport vehicles, and the tax rate is 10%. The calculation formula of tax payable is: tax payable = tax payable × tax rate.

2. Calculation of tax rate for self-use vehicles: taxable value = (total price paid to the seller for purchasing taxable vehicles+extra expenses) × 10%, in which taxable value does not include value-added tax.

3. Taxpayers produce, donate, give or otherwise obtain vehicles for their own use, and the tax basis shall be approved by the Vehicle Purchase Office with reference to the minimum taxable value of taxable vehicles approved by State Taxation Administration of The People's Republic of China, People's Republic of China (PRC).

If the taxable value declared by the taxpayer is lower than the lowest taxable value of taxable vehicles of the same type when purchasing or importing vehicles for personal use, and there is no justifiable reason, the tax basis shall be the lowest taxable value of taxable vehicles approved by State Taxation Administration of The People's Republic of China, People's Republic of China (PRC).

The minimum taxable value refers to the vehicle purchase tax taxable value approved by State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) according to the vehicle price information provided by the vehicle manufacturer and referring to the average market transaction price.

Declaring that taxable value is lower than the lowest taxable value of taxable vehicles of the same type, without justifiable reasons, means that the taxable value of the vehicle declared by the taxpayer is lower than the ex-factory price or taxable value of the imported self-use vehicle.