(Budget 2024-25) EV tax break scaled back with two-year extension

The first registration tax (FRT) concessions for electric vehicles, due to terminate at the end of March, will be extended for two years, with the concessions reduced by 40 percent given the price reduction of electric vehicles and increasing availability of vehicle options, said Paul Chan.

Specifically, the maximum FRT concession for electric private cars (e-PCs), granted under the "One-for-One Replacement" Scheme, will be adjusted to HK$172,500, whereas the concession ceiling for general e-PCs will be lowered to HK$58,500.

At the same time, e-PCs valued over HK$500,000 before tax will not be entitled to concessions under the "affordable users pay" principle.

As for other types of electric vehicles, including electric commercial vehicles, electric motorcycles and electric motor tricycles, the FRT will continue to be waived in full over the next two years.  The EEB will announce details in due course.