Standoff MVDA / MRA: The Carbon Tax Divides Car Dealers

9 years, 9 months ago - 24 April 2013, Défi Media Group
Standoff MVDA / MRA: The Carbon Tax Divides Car Dealers
Importers of cars filed Monday, a new affidavit in the Supreme Court challenging the remission of the carbon tax paid to dealers second hand cars. The case was remanded to May 6 to allow the defendants to make their position known.

The litigation against the backdrop of the remission of the carbon tax given to car dealers, when they meet UN/ECE/101 standards. According to importers of new cars grouped in the Motor Vehicles Dealers Association (MVDA), the second hand cars do not meet these standards and therefore can not get the tax benefit.

The action is directed against MVDA the Mauritius Revenue Authority (MRA) and the Ministry of Industry and Trade. Imported Car Dealers in the Association, which includes car dealers second hand, submitted a motion, through his solicitor, Mr. Preetam Chuttoo but MVDA resisted the motion. The MVDA believes that members of the DIVA can get a discount on the carbon tax, the second hand cars are not consistent with UN/ECE/101 regulation. This regulation is one of the conditions necessary to qualify for this remission.

The MVDA explains that the MRA and the Ministry of Industry and Trade had admitted that the second hand cars do not meet the criteria of Regulation UN/ECE/101 and pledged to take appropriate measures. The MVDA regrets that the defendants have changed their commitment and they process the clearance of second hand cars at the behest of the Ministry of Finance, although not to UN/ECE/101 standards. "The defendants, with the assistance of the Ministry of Finance, violate the law dédouanant not comply with regulations UN/ECE/101 cars," said the complainant.

It considers that the MRA and the Department and acting illegally discriminatory manner and are losing money to the State paying the carbon tax remission on importers of second hand cars.