The transport ministry is currently in the final stage of reviewing a new road tax structure for electric vehicles (EVs), with an announcement on the matter expected to take place before the end of April 2024.
As reported by Bernama, transport minister Anthony Loke said the decision to review the road tax structure is to make the road tax for EVs cheaper than internal combustion engine (ICE) vehicles, which would encourage more people to use EVs.
“The challenge faced in the process is the comparison of engine capacity of ICE vehicles and EVs. Currently, road tax for EVs is free but those who purchase EVs are worried that the road tax would be higher than ICE vehicles,” said Loke.
“The commitment of the government is to reduce (road tax) so that those who purchase EVs will enjoy an appropriate road tax fee. We hope an announcement on road tax for EVs can be made before the end of April,” he added.
The road tax exemption for EVs (as well as hydrogen fuel cell vehicles) was announced back in 2022 and is currently active from January 1, 2022 until December 31, 2025. Under the present and soon-to-be-replaced road tax structure for EVs, the fee is calculated following a kilowatt-based system.
Essentially, the more powerful your EV, the more road tax you’ll be paying. This is different from ICE vehicles which have their road tax calculated based on engine capacity. For EVs, the final road tax amount takes into account the total power rating of the electric motor(s), and there are different power brackets determining the base rate and accompanying progressive rate (if applicable).
We’ve covered this topic in the past and included a few examples for your reference. You can also use the EV road tax calculator on CarBase.my to see how much you’ll be paying for your preferred EV.
The new EV road tax structure will only come into effect after the current exemption period ends, which is until December 31, 2025, as revealed by Loke last November. “We will announce the road tax structure before the end of the year, which will only come into effect after the tax exemption period ends in 2025 unless the finance ministry wants to extend it,” he said at the time.
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Yes.. its high time they did that with too many Chinese EV cars in the market!!! Otherwise Malaysia will be come the graveyard for EV cars! Wait for all the junk to hit the road. Btw, how about plug-in hybrids ? While the road tax reduces, the luxury tax, charging charges (TNB) and very other taxes/charges goes high o compensate the loses. What’s next manipulators ?
Yet EV buyers got other subsidies unlike B40 ICE car buyers.
Madani means B40 dicukaikan, T20 didahulukan
Previous EV tax structure puts volvo xc40 road tax at about RM4500/ year. Sure took gomen a long time to restructure this.
Guess it cannot beat the GR Corolla that outputs 300PS & 400Nm at RM90 – best ever.
Madani disukai T20 M40
Belian high performance
0-100 3.8s mampu lumba
Ferrari Porsche Lambo dah
Haosiao punya direction… EV car heavy weight more damage to road should charge more road tax. And construction lorry should charge maximum road tax, majlis perbandaran should charge lorry too because the lorry drop the SOIL SAND STOBE everywhere they go, landscaping damage & post danger to road user especially bike-rider.
What’s wrong with carbon based rotek structure? Transparent and quick to implement. Nonid roket science to calculate. Unless you wanna emulate the great menteri formula, Lapizi
Those with Dual motor should charge more than ICE because is likely the performance/ luxury segment… all these spell RICH.
It is time for us to change the LKM (road tax) from engine capacity (cc) or power output base to one based on the current value of the vehicle itself.
It can be based on the insured value of the vehicle, or can be based on the original list price of the vehicle reduced by a certain percentage each year.
Tax the poor, help the rich
Madani Gomen means B40 dicukaikan, T20 didahulukan
Anwar menang, rakyat senang
Yet they’re heavier and produce more torque, stressing the tarmac more. I’m with France on this.
go back to your france!!! frenchies !!!!! Go back to your oppressive france !!!!
Cost based on kilowat rating will result in having old clunkers but still burdened by too much road tax. Does not solve the weakness inherent in the current system. That is, when old 1999 model Camry 2200cc wich can be bought for less than RM5000 having to pay RM580 yearly on road tax.
The calculation needs to be based on the market value of the vehicle.
When we are behind every single country in EV adoption and the infrastructure is not in place when EV tipping point arrives, the same people blocking adoption now will scream at government incompetence in not encouraging adoption earlier. Cannot win
EV price, range, charging speed won’t stay at 2024 levels forever. When enough of these flip towards EVs, that’s the tipping point. You won’t be saying “Should I buy EV or ICE”, it will be “which EV do I buy?”.
Fossil fuel will run out in 2060, what do you think will happen to prices as we march towards that date？It won’t be RM2.05 that’s for sure.
What a load of EV propaganda crock. Fossil fuels will run out in 2060? LOL.. they’ve been saying “Peak Oil” for decades now.. ever heard of that? And meanwhile, talk of “Peak Lithium” has been rapidly buried, along with the growing mountain of facts showing how much more wasteful and harmful the EV car industry is
Prof Rowan Atkinson (yes, Mr Bean has a PHD) has said it when he does not believe EV is here yet as a viable option to ICE cars, and the EV industry slammed him for telling the truth.
1 Mei 2024 cuti umum hari pekerja pun masih belum ada pengumuman dari MOT tentang cukai jalan kereta EV. Kata nk umum akhir bulan April? Tahun 2025 kah baru nk umum? Byk mkn lemang agaknya MOT bulan raya ni, dah lupa janji nk umum cukai jalan EV tu.