Electric Car Tax in the Philippines: What You Need to Know

Buying a car in the Philippines often means paying significant taxes.

But if you’re considering an electric vehicle (EV), you’re in luck—the electric vehicle tax in the Philippines now offers generous perks that make EV ownership more accessible and affordable.

From zero import duties to excise tax exemptions, this guide explains everything you need to know about car tax in the Philippines when it comes to EVs.

7 Key Electric Vehicle Tax Benefits in the Philippines

1. Special Green EV License Plates

• EVs receive distinct green plates from the LTO.
  

2. Number Coding Exemption and Priority Registration

• Drive daily without coding restrictions in major cities like Metro Manila.
  

3. Income Tax Holidays and Corporate Incentives

• Companies involved in EV manufacturing, importation, or charging stations can benefit from:
  
  • Income tax holidays (ITH)
    
  • Corporate tax incentives
    
• This supports business growth and expands the local EV ecosystem.
  

4. Tax Perks for EV Charging Station Operators

• Companies building EV chargers can claim:
  
  • Duty-free importation of charging equipment
    
  • Tax deductions on infrastructure investments

More chargers mean fewer worries about “range anxiety” across the Philippines!

5. Lower Import Duties on EV Parts

• Import taxes on critical EV components (like batteries and motors) are significantly reduced.
  
• This encourages local assembly and makes EVs more affordable.
  

6. Excise Tax Exemption for Full EVs

• Fully electric vehicles are 100% exempt from excise tax.
  
• DM-i vehicles enjoy reduced excise tax rates.
  

This helps lower EV prices and puts them in direct competition with gasoline-powered cars.

7. Zero Import Tariffs on Fully Electric Vehicles

• Import tariffs that once ranged from 5% to 30% are now zero for EVs.
  
• This policy will remain until at least 2028, making imported EVs even more attractive for buyers.

Summary: A Smarter Way to Drive Green

Thanks to government support, owning an electric car in the Philippines is no longer just an eco-conscious decision—it’s a smart financial move.

Between tax exemptions, zero import duties, and special incentives, switching to an EV now means:

• Lower upfront costs
  
• Long-term savings on fuel and maintenance
  
• Easier access to cleaner, more efficient transportation
  

At BYD Cars Philippines, we lead the charge toward sustainable driving, offering models like the BYD eMAX 7, Seagull, Atto 3, and more—designed for the Filipino lifestyle.

Explore BYD’s EV lineup, visit our showroom, or contact us to learn how to drive into a greener, smarter future!

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Frequently Asked Questions (FAQ)