The Pinoy Tax Reform CARculator projects the suggested retail price (SRP) of automobiles starting January 2018 after the "Tax Reform for Acceleration and Inclusion" or TRAIN was signed into law in December 2017.

Insert 2017 SRP

Projected SRP after TRAIN

Difference under TRAIN:

2017 Tax Rates

Bracket (Net Manufacturer's Price)

Rates

Up to P 600,000

2%

Over P 600,000 to P 1.1 million

P 12,000 + 20% of excess
over P 600,000

Over P 1.1 million to P 2.1 million

P 112,000 + 40% of excess
over P 1.1 million

Over P 2.1 million

P 512,000 + 60% of excess
over P 2.1 million

Tax Rates under TRAIN

Bracket (Net Manufacturer's Price)

Rates

Up to P 600,000

4%

Over P 600,000 to P 1 million

10%

Over P 1 million to P 4 million

20%

Over P 4 million

50%

Notes

  • The CARculator’s projected SRP was computed as net manufacturer’s price + excise tax + VAT, where the manufacturer’s profit was already factored into the net manufacturer’s price.
  • The CARculator’s projected SRP only took into account the changes in excise tax after TRAIN and assumed all the other factors as constant. Hence, the projected SRP might vary with the final price because it didn’t include the profit margin that the dealers might include after applying the new taxes. Alternatively, some car manufacturers might simply opt to maintain their old prices from 2017.
  • The CARculator didn’t consider hybrid cars, which were taxed at 50% of the applicable excise tax
    rates on automobiles under TRAIN.
  • The CARculator didn’t take into account purely electric vehicles and pickups because these were
    exempted from tax under TRAIN.
  • The CARculator was verified by the Bureau of Internal Revenue.