Smaller pockets, pricier cars

Author: Daily Times

Sir: In distressful times with scarce fuel resources, a hybrid electric vehicle (HEV) can be an ideal choice. It saves on fuel expenditure through efficient consumption. Paying nearly two million for such a car, regardless, is considerably more than what a common man can afford. A 17 percent tax imposed on each hybrid car sold through official dealers is an additional burden on the pocket, especially when there are used HEVs available in the market for lesser prices.

The irony of the situation is how these used cars are exempted from all sorts of taxes. The government fails to realise that even if one wants to buy a new HEV, excessive taxation is a major hindrance.

There is only one choice left for a person like me who works nearly twelve hours a day to make both ends meet — buy a used HEV. It must be taken into account that this policy is adversely affecting the dealers, their sales volumes and the HEV industry. There can be so many solutions to this issue — decrease taxation on new HEVs, stop importing used cars altogether or impose reasonable taxation on used and new hybrid cars alike.

MEER MALIK

Karachi

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