Skip to content
HK FinBox
HomeFind toolsDecisionsOverview
Cars & Mobility
Car cost, tax & running

Car Loan / Total Cost of Ownership Calculator

Private-car first registration tax uses Customs taxable value and the Transport Department bands. Already-registered used cars do not pay it again. Early settlement may follow the Rule of 78.

Share & more

Vehicle and loan details

HK$ 250,000
HK$ 250,000

FRT is charged on the published retail price or Customs provisional taxable value, which can be higher than a discounted invoice.

30%
5 years
4%

Many car-finance quotes use a monthly flat rate and the Rule of 78. Convert with the APR tool or enter the lender’s reducing-balance rate.

HK$ 0
HK$ 30,000
HK$ 3,929
HK$ 8,000
HK$ 2,000
HK$ 1,500
HK$ 3,000

Monthly repayment

HK$3,223

Loan amountHK$175,000 · Down paymentHK$75,000

First registration tax HK$155,000 on taxable value HK$250,000. Usually paid in cash, not added to the loan.

Total interest

HK$18,373

Total repayment

HK$193,373

Repayment-to-income ratio

10.7%

Affordable burden

Monthly running cost

HK$7,640

Instalment + insurance + running costs

First-year total outlay

HK$325,604

Deposit, FRT, one licence, one insurance year, 12 instalments and running costs. Insurance is counted once.

Cash needed upfront

HK$241,929

Deposit + first registration tax + first-year licence and insurance

This FRT table is for private cars only. Electric and plug-in hybrid concessions, motorcycles and vans use other rates. Early settlement may follow the Rule of 78 rather than this reducing-balance schedule. Open Rule of 78

Taxable-value bandRateTax
First HK$150,00046%HK$69,000
Next HK$150,00086%HK$86,000

Hong Kong car loans and private-car first registration tax

Private-car first registration tax is Customs taxable value times the Transport Department bands: 46% on the first HK$150,000, 86% on the next HK$150,000, 115% on the next HK$200,000 and 132% on the remainder. Taxable value is usually the published retail price or a Customs provisional value, which can exceed a discounted invoice. A car already registered in Hong Kong does not pay this tax again.

The tax is normally paid in cash and is not automatically added to the car loan. Electric cars, plug-in hybrids, motorcycles and vans use other rates or concessions. This page only applies the private-car table. Vehicle licence fees vary by cylinder capacity; enter the annual fee yourself.

Many car-finance quotes use a monthly flat rate and the Rule of 78, which is not the same as the reducing-balance rate on this page. A balloon lowers the instalment but leaves a lump sum at the end. Check an early settlement with the Rule of 78 tool or the lender’s statement.

Insurance, fuel, parking and maintenance sit on top of the instalment. This page counts insurance once in the first-year cash figure. The income-ratio check is only a burden hint, not a bank-approval rule. Customs valuation and Transport Department collection remain decisive.

References

Site data last reviewed: 2026-08-09 · The sources above are for reference only; please refer to the latest official announcements from the relevant organisations.

Think a figure, rule or source needs updating? Report this page

FAQs

How is first registration tax calculated?

For a private car it is Customs taxable value at 46% on the first HK$150,000, 86% on the next HK$150,000, 115% on the next HK$200,000 and 132% on the remainder. Customs assessment is decisive.

Does a used car pay first registration tax again?

Not if it is already registered in Hong Kong. The tax applies to first registration or first import. Choose “already registered” to set it to HK$0.

If I pay less than the published retail price, is tax lower?

Not necessarily. Taxable value usually follows the published retail price or Customs provisional value. This page lets you enter purchase price and taxable value separately.

Is the rate a reducing-balance APR or a flat rate?

This page uses a reducing-balance annual rate. Many car loans use a monthly flat rate and the Rule of 78. Check early settlement with that tool or the lender’s statement.

What is a balloon payment?

A residual principal due in one lump at the end of the term. It lowers the monthly instalment but still has to be paid or refinanced. This page adds it to total repayment.

Do electric cars use the same tax table?

No. Electric and plug-in hybrid private cars have other concessions. This page does not apply the one-for-one replacement cap.

Client-side only: All data is calculated on your device and is not uploaded to any server. Results are for reference only and do not constitute professional financial or legal advice.