It’ll be difficult to lower road tax, provides RM3b yearly to the government – Loke
Transport Minister, Anthony Loke wants to study the current road tax structure, but admits that lowering it might be a difficult task.
It seems that Anthony Loke is trying to revolutionise another aspect of vehicle ownership in Malaysia, but this time, his attempt might lead to a dead end.
At a recent parliament meeting, the Transport Minister mentioned that the current road tax structure must be looked at once again.
Although he said that the road tax structure would be looked at, he also mentioned that lowering road tax prices would be difficult as it provides a steady stream of revenue for the government.
“It is necessary to conduct a comprehensive study to see the road tax structure, but it is necessary to understand that the collection of road tax is a huge revenue for the government.
“The revenue we get from road tax is almost RM3 billion, so due to the current lack of revenue, any decision to lower the road tax will indeed have a negative impact,” he said recently during a session at the Dewan Rakyat.
At the same time, Anthony said a comprehensive study for EV road tax would be carried out and that the price structure would be in line with the government’s policy that promotes the use of that type of vehicle.
He said, in an effort to encourage the use of EV vehicles, there should be various incentives in terms of competitive tax prices, charging station facilities and facilities.