Malaysia to impose new rates for vehicle registrations, ownership transfers by foreigners from April 16

Deputy Transport Minister Ab Aziz Kaprawi said the move to increase vehicle registration rates for foreigners was justified as Malaysian vehicle ownership rates were increasing.
Deputy Transport Minister Ab Aziz Kaprawi said the move to increase vehicle registration rates for foreigners was justified as Malaysian vehicle ownership rates were increasing.PHOTO: THE STAR/ASIA NEWS NETWORK

BATU PAHAT (THE STAR/ASIA NEWS NETWORK) - Foreigners in Malaysia will have to pay higher rates for vehicle registration, ownership transfers and their probationary and competent driving licenses (PDL and CDL respectively) from April 16 onwards.

Deputy Transport Minister Ab Aziz Kaprawi announced the fee hikes during a Road Transport Department (JPJ) event in Batu Pahat, Johor on Monday (April 2).

Under the new rates, the current RM5 (S$1.70) registration fee for motorcycles of all engine capacities will go up to RM20 for engine capacities of 500cc and below throughout the country, while those above 500cc will be charged RM100.

Likewise, vehicles other than motorcycles with 1,500cc engine capacities and below, which are currently charged RM150 and RM60 in Peninsular Malaysia and East Malaysia respectively will also see charges raised to RM350 and RM120.

Datuk Ab Aziz Kaprawi said the move to increase the rates for foreigners was justified as Malaysian vehicle ownership rates were increasing, and some of the vehicles were owned by foreigners.

"A lot of foreigners are living here, we have our My Second Home programme where they are exempted from taxes on their vehicle," he said.

He added that as foreigners residing here, they could not enjoy all the same benefits as citizens.

The same treatment was applied to Malaysians overseas, he said.

He added that the rate increase is estimated to boost government revenue by up to RM31 million annually without burdening citizens.

Mr Ab Aziz also said that the department was offering a 70 per cent discount on all summonses and compounds issued as part of its 72nd anniversary celebrations.