Why are buyers subject to the prevailing PARF rebate at the point of registration based on the date the COE is obtained rather than at the point of sale? / Can the effective date be deferred to allow affected buyers time to adjust?

Question

Why are buyers subject to the prevailing PARF rebate at the point of registration based on the date the COE is obtained rather than at the point of sale? / Can the effective date be deferred  to allow affected buyers time to adjust?

Accepted Answer

The changes to the PARF rebate are implemented immediately to prevent distortions to the COE market that could arise from prospective buyers rushing to bid for COEs to benefit from the previous scheme. This ensures that all bidders within the same COE bidding exercise are treated equally.

This has been the Government’s practice for motor-vehicle-related taxes – the changes are announced and applied immediately to ensure market stability and fairness.

The same approach was taken in 2023 where changes to the ARF structure and the introduction of the PARF rebate cap were implemented immediately.

Why are buyers subject to the prevailing PARF rebate at the point of registration based on the date the COE is obtained rather than at the point of sale? / Can the effective date be deferred to allow affected buyers time to adjust?

Related questions

Which vehicles are affected by the revised PARF rebate?

Why was the PARF rebate revised?

Can I cancel my vehicle purchase because of the PARF change? / How will dealers and buyers who signed purchase agreements before 12 February but have not secured COEs be supported during this transition?

Why not introduce a COE surcharge, like an Additional Buyer's Stamp Duty, for those households with multiple cars?

Can I cancel my vehicle purchase because of the PARF change? / How will dealers and buyers who signed purchase agreements before 12 February but have not secured COEs be supported during this transition? 