Customs clarifies hybrid vehicle fuel tax controversy

Sri Lanka Customs (SLC) has refuted false information circulating about the imposition of a fuel tax on hybrid vehicles during customs clearance.The SLC clarified that there are two types of hybrid vehicles.

“Hybrid vehicle types that burn fuel solely to charge the battery, which powers only the vehicle’s electrical components, including the air-conditioning, will be taxed under the fuel tax. These vehicles rely entirely on fuel to spin the wheels,” said Customs Additional Director General and Media Spokesman Seevali Arukgoda.

This vehicle sub-model falls under the ‘other’ category in the electric vehicle classification.The second variety consists of vehicles that use either petrol or diesel as fuel, along with battery power to spin the wheels. These will be taxed under the hybrid tax, he explained.

“We have imposed the correct tax on these vehicles, and those who have already imported them need not worry about the tax. Customs is aware of the tax imposition, but people have misunderstood hybrid technology when selecting their vehicles,” he said.

 

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