07 Jul 2015 12:00:00 AM

FAQ:LOCALLY MANUFACTURED / ASSEMBLED COMPLETE KNOCKED DOWN (CKD) VEHICLES

Locally manufactured / assembled Complete Knocked Down (CKD) vehicles

  • How long do have to own my tax-free CKD vehicle purchased through the REP, before selling? Will I be responsible for paying tax on the vehicle when I sell it?
    Once you have purchased your CKD vehicles tax-free, you must have them in possession for a minimum period of two (2) years before you are allowed to sell them off to a third party.

    In the event the approved Applicant intends to sell the vehicle after the 2-year period, then the approved Applicant is required to obtain prior approval from Ministry of Finance and pay the remaining duties and/or taxes to the Royal Malaysian Customs Department prior to the sale. Please refer to the Ministry of Finance for more information on this. 

    Vehicles cannot be sold or its ownership transferred (penukaran hak milik) without paying excise duty and sales tax calculated by the Royal Malaysian Customs during the sale or ownership transfer. 

  • What is the process of purchasing a CKD car?
  • What are the tax amounts for different brands and models of CKD vehicles?
    Taxes will differ based on the make, model, engine capacity, and car dealer’s profit margin. 

    Approved REP applicants may refer to the Customs Department for the exact tax amounts. TalentCorp does not have this information. 


  • Can I sell a CKD car purchased tax-free through the REP, before the 2-year mandatory ownership timeframe is up?
  • How many CKD cars can a married couple purchase under the REP?
    Applications would have to be submitted individually and if approved, each applicant is eligible for one car.