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Old car scrapping scheme eligibility lowered
Eligibility for the first registration tax (FRT) concession under the old car scrapping incentive scheme will be lowered from Monday (April 14), a spokesman for Transport Department said today (Saturday).
The scheme was adopted by the Financial Secretary at his 97-98 Budget speech to lower the requirement of car ownership and licensing period from two years to one
year.
Aimed to help improve air quality on the road, the scheme encourages owners of private cars of 10 years old or more to scrap their vehicles and to replace them by new petrol-engine ones.
Since its introduction last June, a total of 1 531 certificates have been issued and 977 FRT concessions granted.
The incentive of the scheme is a reduction in FRT of 20 per cent of the tax payable or $30,000, whichever is the lower, for the registration of the new replacement private car.
Applications for this scheme should be made to the Transport Department's Hong Kong Licensing Office on third floor, United Centre, 95 Queensway, Hong Kong.
The updated eligibility criteria for the scheme are:
the manufacturing year of the private car to be scrapped must be 1987 or before;
at the date of scrapping, the private car must have been owned by the same owner for at least 12 months beforehand, and also the car must have been continuously licensed in Hong Kong for 12 months immediately beforehand;
the new replacement private car under application for the first registration should not have been registered in Hong Kong or in any other countries; and
the registered owner of the new replacement car must also be the same person as that of the old car.