China Adds 10% Consumption Tax for Superluxury Cars

(Beijing) — Buyers of superluxury cars in China will have to pay a 10% consumption tax at the time of purchase, under a new policy set to take effect on Dec. 1.

The Ministry of Finance announced the new tax on its website, and said it will apply to cars costing 1.3 million yuan ($188,700) before the addition of value-added taxes.

Cars purchased before Dec. 1 will be exempt, even if the actual vehicle hasn't been delivered by that date.