Asia Ex-J Consumer/ Transport analyst

Valerie Law, CFA

Equity Bottom-Up

<h2><strong>What's new?</strong></h2><ul>
<li>In Budget 2017, the Singapore government reduced the annual special tax on diesel taxis by SGD 850 per vehicle (Source: <a href="http://www.channelnewsasia.com/news/singapore/budget-2017-taxes-on-diesel-vehicles-restructured-based-on-usage/3534556.html" target="_blank">Channel News Asia</a>, 20 Feb 2017), representing ~16.7% savings from the previous tax level. Currently, diesel cars and taxis are levied a lump sum Special Tax, disregarding the amount of diesel used (see screen shot of road tax rates on a 6-month basis below).<em><em><br></em></em>
</li>
<li>Based on ComfortDelgro's fleet size of 16,821 as of December last year, this will translate to<strong> potential</strong>…</li>
</ul>

What's new?
In Budget 2017, the Singapore government reduced the annual special tax on diesel taxis by SGD 850 per vehicle (Source: Channel News Asia, 20 Feb 2017), representing ~16.7% savings from the previous tax level. Currently, diesel cars and taxis are levied a lump sum Special Tax, disregarding the amount of diesel used (see screen shot of road tax rates on a 6-month basis below). 

Based on ComfortDelgro's fleet size of 16,821 as of December last year, this will translate to potential…


Budget 2017: New Volume-Based Tax on Diesel Vehicles - Will Taxi Companies Share the Burden?

Comfortdelgro Corp

Budget 2017: New Volume-Based Tax on Diesel Vehicles - Will Taxi Companies Share the Burden?