Kia Announces Price Increase Due to Capital Value Tax

Lucky Motor Corporation Limited (LMCL) has issued a press release, issuing clarity regarding price hike news circling the media. According to the official statement, the company did not make any revisions in the ex-factory prices of its cars.

However, following the enactment of a 1 percent capital value tax (CVT) on cars with engines larger than 1300cc, the purchasing cost of all cars has risen slightly, with the exception of the Kia Picanto.

Effective immediately, the prices subject to the new CVT rate are as follows:

The federal government has imposed a 1 percent CVT on cars with engines larger than 1300cc and electric vehicles (EVs) with battery packs larger than 50 kWh, effective from July 1, 2022.