Imbert: Small hybrid cars now tax-free

Vehicle importers can now bring in new and used small hybrid cars tax-free.

Finance Minister Colm Imbert has announced the tax exemptions take effect Wednesday as they were published in the Gazette on Tuesday.

"All taxes (customs duty, motor vehicle tax and value added tax) will be waived on passenger hybrid motor cars for private use with an engine size not exceeding 1,599 cc and an electric motor output not exceeding 105 KW," a release from the ministry said.

Used hybrid cars must not be more than three years old, it added.

"These specifications will allow the vast majority of small hybrid passenger cars for private use to be imported into Trinidad and Tobago free of all taxes."

The minister first announced the measures in Parliament on April 8, as part of a policy that included fuel price increases of between 50 cents-$1 per litre on diesel, super and premium gas.

“These tax concessions will be designed to cater for typical car owners and will not be available for owners or importers of high-end luxury hybrid cars,” Imbert told the Lower House.

Previously, TT Automotive Dealers’ Association (TTADA) president Visham Babwah said the hybrid cars would remain costly owing to the three-year age limit, and had appealed for a range of up to six years.