Cars subject to luxury tax
Luxury tax 2020: list of cars
The Ministry of Industry and Trade of the Russian Federation announced a list of expensive cars in 2020, which presents models and brands of vehicles for which owners will have to pay luxury tax. In accordance with the law, luxury tax applies to cars costing over 3 million rubles. The list of models is updated annually and approved by the Russian Ministry of Industry and Trade.
The current list of luxury vehicles is much larger than previous documents. For comparison: in 2015, the official list of expensive cars included 189 models, and now their number has increased to 708 positions.
Luxury tax amount
The law states that cars whose value exceeds 3 million rubles should be subject to luxury tax. When calculating the luxury tax, increasing factors are used, the size of which depends on the current cost and year of manufacture of the vehicle.
Calculation of luxury tax - increasing factors
Cars costing from 3 million rubles - 5 million rubles.
Cars costing from 5 million rubles - 10 million rubles.
Cars costing from 10 million rubles - 15 million rubles. (and higher)
Why has the luxury tax list grown?
Experts have long predicted that the updated list of expensive cars will include several dozen new vehicle models. Throughout the year, the country existed in conditions of accelerated inflation, against the background of which the cost of many cars increased significantly. Accordingly, those cars that previously cost up to 3,000,000 rubles have now exceeded the limit established by law.
The first model that appeared in the current list is the Mercedes E300. This car was not present in the previous list, because... its cost was below 3 million rubles. However, over the past six months, the cost of the Mercedes E300 has increased significantly, as a result of which the vehicle has received the status of “luxury”, and its owner will have to pay additional tax.
Let's look at a small comparative example:
The owner of the E300 car (2018, gasoline, power - 250 hp, engine capacity - 3498 cubic centimeters) lives in Moscow. Last year, when this brand was not included in the list of luxury vehicles, the owner of a Mercedes had to pay 18,759 rubles for it. But now, given that the model is included in the list of cars for which increased transport tax is applied, the owner will need to pay almost 10,000 more compared to last year’s amount (28,175 rubles). This increase occurred due to the coefficient established by law (1.5), which is used in calculating the tax for 2020.
Cars that fall under the luxury tax - 2020 list
Cars costing from 3 to 5 million rubles.
Luxury tax. List of cars 2019
In March 2019, the list of luxury tax cars was updated. The number of cars subject to increased payment of transport tax is gradually increasing. If in 2014, when the list first appeared, there were 187 cars, now in 2019 this figure was already 1,194 cars. Another factor that plays a role here is that the list contains separate items for different model configurations, apparently so that there are fewer options for challenging at the tax office.
On January 1, 2014, a new concept appeared - “luxury tax”, due to changes in the tax code, when calculating transport tax on cars costing more than 3 million rubles (clause 2 of Article 362 of the Tax Code of the Russian Federation).
How is the list of cars formed?
The organization authorized to compile a list of cars for which an increased transport tax is charged is the Ministry of Industry and Trade.
The Ministry of Industry and Trade requests from manufacturers or authorized persons information on brands, models and basic versions of passenger cars, the recommended retail price of which exceeds 3 million rubles. The average cost is calculated based on the recommended retail prices of the basic versions as of July 1 and December 1. The price data provided for the base versions is used to calculate the average cost of the vehicles.
The change in the dollar exchange rate and the rise in car prices have brought it to the point of ridiculousness, so in 2019, “luxury” cars already include: KIA K900, Mercedes-Benz E 200 Sedan, Toyota Highlander, LC150, Nissan Murano.
Luxury Tax Increasing Coefficients
Depending on the price and year of manufacture, all cars are divided into 4 categories. Each category has its own increasing coefficient. The table shows the luxury tax coefficients.
Luxury tax in 2019: how to calculate and who is obliged to pay it
As we remember, since 2014, all cars costing over 3 million rubles are subject to the so-called “luxury tax”: you need to pay an increased transport tax for them. How do you know which cars need to pay higher taxes, and how to calculate it?
Since its inception in 2014, the luxury tax has changed along with market realities - and although the minimum entry threshold for the concept of “luxury” has remained at 3 million rubles, the additional tax burden has not remained the same as it was at the time of its inception. Today's tax rates take into account the fact that price tags have changed significantly, and today even some versions of cars that are not very luxurious, it must be said, cost over 3 million. Let's briefly remember what a “luxury tax” is in general and find out how much and for what you have to pay.
The luxury tax refers to the increasing coefficients of transport tax for cars costing over 3 million rubles. If the amount specified in the purchase and sale agreement is higher than this mark, and the age of the car falls within the requirements established by law, then annually when calculating the transport tax, its amount will be multiplied by an increasing factor. The size of the increasing factor depends on the cost and age of the car.
The list of cars that are subject to increasing factors is compiled by the Ministry of Industry and Trade and is updated annually. In 2014, it included less than 200 cars, and now there are more than 1,000, and the list is compiled taking into account specific modifications and engines. The current list can be found on the official website of the Ministry of Industry and Trade: here . Please note: when purchasing a used car at a price lower than that assumed in the calculations of the Ministry of Industry and Trade, you will still receive an increased transport tax - the calculation is carried out strictly according to the list. Thus, deliberately underestimating the cost of the purchased car does not make sense.
Taking into account the minimum threshold of 3 million, today not only Mercedes-Benz, Porsche and other Jaguars are considered luxury: the list, for example, includes the Toyota Highlander, Ford Explorer, and Volkswagen Touareg - depending on the engine and version. Please note: the list of models is updated annually by the Ministry of Industry and Trade no later than March 1 - that is, the new list will be published within two weeks, after which we will also update the link.
The sizes of the increasing coefficients used to calculate the transport tax for “luxury” cars are indicated in paragraph 2 of Article 362 of the Tax Code. Previously, the coefficients were more differentiated - for example, for one-year-old cars costing from 3 to 5 million you had to pay 1.5 times more. Now the rates have softened somewhat: for cars under 3 years old and costing from 3 to 5 million, a coefficient of 1.1 is applied - that is, the overpayment of transport tax will be only 10%. For convenience, we have compiled all the coefficients into a single table.
When determining the age of a car, the calculation of the periods specified in the Tax Code begins with the year of manufacture of the passenger car - that is, for the calculation it does not matter whether it was released in January or December.
Luxury tax: cars – 2019 (list)
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A few decades ago, any car seemed like a luxury item. But now the list of “luxury” cars is determined officially - before March 1 of each year (clause 2 of Article 362 of the Tax Code of the Russian Federation). It is formed by the Ministry of Industry and Trade based on the cost of vehicles. The list includes cars that fall under the luxury tax. This is usually the name given to transport tax, paid at an increased rate by owners of expensive cars. In addition to the price, the year of manufacture of the car is taken into account.
List of cars subject to luxury tax in 2019
Since the list of luxury cars depends on their average cost on the market, it changes following price jumps and currency fluctuations. Since the introduction of the “luxury tax” in 2014 (Article 1 of Law No. 214-FZ of July 23, 2013), the list of luxury cars is annually replenished with new models of foreign cars, as prices for personal vehicles regularly rise. Some vehicles may be removed from the list, for example, if their production is discontinued or due to other circumstances.
The list of cars for luxury tax in 2019 has been significantly expanded by the Ministry of Industry and Trade of the Russian Federation. Compared to the previous year, it increased by 68 positions. The list, which is published on the official website of the Ministry of Industry and Trade, shows 1,194 cars of different brands and models. They are divided into several categories, depending on the cost of the vehicle.
For each car on the list, the following information is indicated:
model or version;
engine type and size;
“age” of the machine (how many years have passed since its release in production).
The average price of vehicles is calculated in accordance with the procedure approved by Order of the Ministry of Industry and Trade No. 316 dated February 28, 2014. When compiling the list, the department requests information from car manufacturers and representatives of automakers about the recommended retail price of cars over 3 million rubles. Information is provided by organizations twice a year - no later than July 1, and then until December 1. The two values are added and the sum is divided in half. The result is the average cost of the vehicle.
Luxury tax (cars) 2019 – the list can be downloaded below.
Why is the list of cars subject to luxury tax published?
The list is published so that the owner of an expensive car (legal entity or individual) can correctly calculate the amount of transport tax that he is obliged to pay to the regional budget. If the car is included in the list of the Ministry of Industry and Trade, a multiplying factor (PC) is applied when calculating the tax. And the higher the average price of a car, the higher the PC:
1.1 – if the average price of a passenger car is 3,000,000 – 5,000,000 rubles. inclusive, and her “age” does not exceed three years;
2 – if the average price of a passenger car is from 5,000,000 to 10,000,000 rubles. inclusive, and her “age” does not exceed five years;
3 – if the average price of a passenger car is from 10,000,000 to 15,000,000 rubles. inclusive, and the “age” of the car is no more than 10 years;
3 – if the average price of a passenger car is from 15,000,000 to 20,000,000 rubles. inclusive, and the “age” of the car is no more than 20 years.
The transport tax on cars falling under the luxury tax is calculated using the following formula:
NS – tax rate for a car of a certain capacity;
NB – tax base (car engine power in l/force – Article 359 of the Tax Code of the Russian Federation);
PC – increasing coefficient for cars with an average cost of 3 million rubles.
The value of the increasing coefficient does not depend on the region of the Russian Federation; it is established at the federal level and is the same for everyone. The Ministry of Industry and Trade decides which cars the luxury tax will apply to during the tax period. If an expensive car is not on the list generated by him for the current year, the PC does not apply (for any cost of the car).
Transport tax rates are determined at the regional level. If the subject of the Russian Federation has not defined them, the values of the Tax Code of the Russian Federation are applied (Article 361 of the Tax Code of the Russian Federation). When the owner owns the vehicle for less than a full year, NS and NB are additionally multiplied by the ratio of the number of full months of ownership to 12 (months), and then the resulting product is multiplied by PC. A month in which a car was registered before the 15th, or it was deregistered after the 15th is considered complete. Read more about how to calculate the luxury tax on cars in 2019 in our publication.
Luxury tax: list of cars, calculation example
The list of “luxury” cars includes vehicles whose average price exceeds 3 million rubles. In particular, it included the brands of the following passenger cars:
Rolls-Royce, etc.
This is a small part of the vehicles for which the luxury tax is charged - the list of cars includes more than 1,100 units, and it will not be possible to list them all in the text of the article.
Let's give an example of calculating transport tax for a luxury car in the Yaroslavl region.
The company, located in Yaroslavl, at the beginning of March 2019 purchased a 2018 car for its own needs at a cost of 7,000,000 rubles (the car model is included in the list of the Ministry of Industry and Trade). Engine power – 230 l/hp. The tax rate applied in this case is 71 rubles (based on regional law No. 71-z dated November 5, 2002). Increasing factor – 2.
The amount of transport tax for 2019 is calculated as follows:
(230 l/hp x 71 rub. x 10/12) x 2 = 27,217 rub.
The value of 10/12 in this example is the ratio of the number of months of car ownership in 2019 (10 months - from March to December) to the total number of months in the year.
Below you will find a complete list of “luxury” cars of the Ministry of Industry and Trade for 2019.
Which cars were subject to luxury tax in 2018 can be found here .
The list of cars subject to the luxury tax has become longer
The Ministry of Industry and Trade of the Russian Federation has adjusted the list of models and their modifications, which taxpayers should follow when paying transport tax in 2019.
Compared to the list that the ministry published last year, the current version is much longer: it consists not of 1040 items, but of 1193. The reason for the expansion of the list was the increase in prices for models of almost all brands represented on the Russian market.
Now the list of the Ministry of Industry and Trade includes 576 cars with an average cost of 3 to 5 million rubles, no more than 3 years have passed since their production, 447 units. – worth from 5 to 10 million rubles and no more than 5 years old, 97 pcs. – from 10 million to 15 million, no more than 10 years old and 73 pieces. - with an average cost of 15 million rubles, no more than 20 years have passed since the year of production.
In addition to models from luxury and premium brands, the list includes the Ford Explorer, Chevrolet Traverse, as well as Volkswagen Touareg and Teramont, Volvo V40, XC60, XC90, V90 Cross Country and S90.
The full list can be found by following the link.
As Autorambler reported, earlier the State Duma proposed exempting owners of used cars from paying transport tax if they are older than 10 years and cost less than 1 million rubles. The author of the idea, LDPR deputy Vasily Vlasov, believes that the owners of such cars use them in “exceptional cases” and, in order not to worsen their already difficult financial situation, it is necessary to introduce tax breaks for them.
