Open category COEs traded by car dealers at premium after vehicle tax hike

Higher taxes on cars with an open market value of more than $40,000 will take effect from the next round of COE bidding. ST PHOTO: GIN TAY
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SINGAPORE – The price of Open category certificates of entitlement (COEs) secured by motor traders in past tenders has risen by more than $100,000 on the resale market, as luxury car buyers can use them to avoid the higher vehicle taxes announced on Feb 14.

Industry sources told The Straits Times that Open category COEs are in hot demand, with traders asking for premiums upwards of $100,000.

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