S.M.M.T. Advice on Purchase Tax
Page 38
If you've noticed an error in this article please click here to report it so we can fix it.
THE clause in the Finance Kill imposing the 336 -per cent, purchase tax on goods vehicle chassis passed through its second reading in the House of Commons last week.
Components which are exempt from tax are cabs, tipping gear. turntables. and the accumulators of battery: electric vehicles. Assessment of duty on chassisless vehicles will be the task of Customs and Excise officers.
Manufacturers are liable for the tax, which comes into operation in respect of chassis delivered on sale.or imported on or after July 1. The Society of Motor Manufacturers and Traders points out that it may be difficult to decide whether a chassis has been delivered on sale before July 1. To be on the safe side, it says, there should be a contract for the sale of the chassis only, and physical deliVery of the chassis to the buyer should take place before July 1.