ONLINE buy-and-sell platform OLX said prices of second-hand commercial vehicles posted on its website have jumped by as much as P150,000, amid speculation starting in late 2017 over the price impact of the Tax Reform for Acceleration and Inclusion (TRAIN) Law.
OLX said in a statement that the resale value of one- to two-year-old vehicles during the January 2017 to April 2018 review period rose an average of P90,000.
The increases were seen in units with an original retail price of at least P1 million such as Toyota Innova, Honda CR-V, Toyota Fortuner, Mitsubishi Montero and Ford Everest, which are sport utility vehicles officially classified as commercial vehicles.
“Speculation about the TRAIN Law fueled the price increase in the 3rd quarter of 2017 and continue long after it was implemented early this year,” OLX said in its statement Thursday.
Republic Act No. 10963 or the TRAIN law was signed by President Rodrigo R. Duterte in December. It took effect on Jan. 1, 2018.
The new law raised the excise tax on cars, with the increase varying depending on the vehicle’s selling price.
“The data we released is our way of guiding buyers in determining which second-hand vehicles have significantly increased in price,” OLX Head of Cars Xervin Maulanin said in the statement.
“This will also help them evaluate the difference in buying pre-owned versus brand new cars.” — Janina C. Lim
