importing a car in the Philippines
I'm planning to import a car in the Philippines.
Actualy this is not a normal car but a car what is used for the transportation of invalid people,it contains a special lift for wheelchairs.
Can anybody tell me if i can get a lower import tax because it is used as a medical device.
It concerns a Opel Vivaro fully equiped for invalid people.
Thank you very much for your reply
Werner
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I think the only way to avoid extremely high import taxes (they may ask up to 100 % on vehicles, I heard incredible stories...)is to dissabsemble in Belgium and then import as 'car parts'
This is a common practice in Philippines for e.g. the suzuki small vans you see everywhere: they buy second hand abroad, in fact cut in two, re-assemble in Philippines, and that way it's possible to buy a van like that from 100.000 pesos ....
As I'll be setting up an import/export company in Philippines next year, maybe I can help... Don't hesitate to contact me. Might be helpfull as I am a Belgian too.
Rgds,
Joris
Heb er al weet van hoor dat het quasi onmogelijk is om een wagen te importeren , ben daarom al bezig om ginder eentje aan te schaffen en te prepareren.
Ik heb gelukkig goede contacten ginder in de auto industrie dus daar voorzie ik geen problemen mee.
In ieder geval bedankt voor je antwoord en hopelijk hoor ik je vlug (zie andere mail)^
Vriendelijke groet
Werner
Sincerly
Werner
Can you tell me what will be the full price then for the import of the car , the 12% is based on what?
Thank you
Werner
Year (year聽 聽 聽 聽
Acquisition price (US$)聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Current Rate of Exchange 1聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
"1In case the car was purchased in a different currency, include the current rate of exchange for the currency for which
the car was purchased (i.e. US$-Php-Euro)."聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Value in US$聽 聽 0.00聽 聽 聽 聽 Duty聽 聽 0.00聽 聽 聽 聽
Depreciation (10% per yr max of 9 yrs)聽 聽 0%聽 聽 聽 聽 Dutiable value in Php聽 聽 0.00聽 聽 聽 聽
Dutiable value in US$聽 聽 0.00聽 聽 聽 聽 Miscellaneous聽 聽 265.00聽 聽 聽 聽
Current Rate of Exchange聽 聽 0.00聽 聽 聽 聽 Total Landed Cost聽 聽 265.00聽 聽 聽 聽
Dutiable value in Php聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Rate of duty聽 聽 30%聽 聽 聽 聽 Ad Valorem Tax聽 聽 0.00聽 聽 聽 聽
Duty (Php)聽 聽 0.00聽 聽 聽 聽 Total Landed Cost聽 聽 265.00聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 Value Added Tax Base聽 聽 265.00聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 Value Added Tax Rate聽 聽 0%聽 聽 聽 聽
BIR EXCISE TAX BASIS聽 聽 聽 聽 聽 聽 Value Added Tax (Php)聽 聽 0.00聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Value in US$聽 聽 0.00聽 聽 聽 聽 Summary :聽 聽 聽 聽 聽 聽
Depreciation (10% per yr max of 5 yrs)聽 聽 0%聽 聽 聽 聽 Duty聽 聽 0.00聽 聽 聽 聽
聽 聽 0.00聽 聽 聽 聽 Ad Valorem Tax聽 聽 0.00聽 聽 聽 聽
Rate of exchange聽 聽 0.00聽 聽 聽 聽 Value Added Tax聽 聽 0.00聽 聽 聽 聽
Dutiable value in Php聽 聽 0.00聽 聽 聽 聽 Import Permit Fee (IPF)聽 聽 0.00聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 TOTAL (Php)聽 聽 0.00聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Duty聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Dutiable value in Php聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Miscellaneous聽 聽 7,200.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Total Landed Cost聽 聽 7,200.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Ad Valorem Base聽 聽 7,200.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Less:聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 7,200.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Ad Valorem Tax Rate聽 聽 0%聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Add:聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Ad Valorem Tax (Php)聽 聽 0.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Rates & bases of the Ad Valorem Tax on Automobiles聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Net Manufacturer's Selling Prices聽 聽 Tax Rate聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Up to P600,000.00聽 聽 2%聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Over P600,000 to P1,100,000.00聽 聽 P12,000 plus 20% of the value聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 in excess of P600,000聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Over P1,100,000.00 to P2,100,000.00聽 聽 P112,000 plus 40% of the value聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 in excess of P1,100,000.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
Over P2,100,000.00聽 聽 P512,000 plus 60% of the value聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 in excess of P2,100,000.00聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽 聽
"Note: This estimated computation may change at the time of actual payment due to foreign exchange factor.聽 Further, it's only an
聽 聽 聽 聽 聽 estimate and should not be taken as final.聽 The final payable tax will be based on the computation of the Bureau of Customs."
The new price was 20.000 euro But ofcourse now its much more cheaper.
If the import is so expensive its maybe better to buy a second hand in the Philippines and install a carlift overthere?
Summary :聽 聽
Duty聽 聽 131,220.00
Ad Valorem Tax聽 聽 29,034.00
Value Added Tax聽 聽 84,872.28
Import Permit Fee (IPF)聽 聽 1,000.00
TOTAL (Php)聽 聽 246,126.28
You can buy a used Toyota Vios and install a chair lift without any issues. Plus you will be able to service it (parts wise).
by the way there is another way which is not hustle on your part.
we can cater you by package deal, i will give you a package price it covers all expenses, processing in customs, and deliver the items door to door. just PM me. thanks!
Cebulover wrote:I think the only way to avoid extremely high import taxes (they may ask up to 100 % on vehicles, I heard incredible stories...)is to dissabsemble in Belgium and then import as 'car parts'
This is a common practice in Philippines for e.g. the suzuki small vans you see everywhere: they buy second hand abroad, in fact cut in two, re-assemble in Philippines, and that way it's possible to buy a van like that from 100.000 pesos ....
Joris
I don't recommend this. I think you're asking for more trouble in the end, not only with customs but with whomever is riding in the van, and judging from the post about a wheelchair, I don't think it's safe for anyone, specially someone that may have a disability to be riding in the van. On top of that, the added cost on assembling the van is not practical unless you are very handy and have tools to put it together.
There's another way to competely avoid this and all legal without paying anything at all, but too lengthy to explain.聽
I think you are better off in getting a decent used vehicle that hasn't been involved in any flood of some sort. Check out the used toyota vans.
I have been hit by two taxis, just go to police and fill out report. In both cases, the police decided the taxi driver was at fault and ticketed him. Have insurance and let them take care of any damages.
dhnindc wrote:You can buy a good used car that is reasonably priced. Just stay away from the Euro models. A used Toy, Honda, Mits or Isuzu are all priced ok. Not sure where you are looking.
Good advice. The European cars are ridiculously priced cause of the tax. On top of that, for example, if you bring in a Mercedes van, and have it service at a reputable Mercedes dealer, they'll give you a hard time servicing the car at the dealer without an upfront fee because of their "trained service technician" and their "specialized tools". It's almost like a membership fee for having the car service there because your car was privately imported, unless of course you have a reputable mechanic that you know.
But, a lot of the cars nowadays have software and you need a code reader to make a diagnosis. A lot of times, you'll need one that's brand specific, where a universal code reader doesn't work on every car such as a BMW or Mercedes.
Okieboy wrote:i have聽 a jeep Wrangler i paid聽 P60,000 i work on it聽 myself i replaced the聽 motor with a聽 larger turbo diesel, and聽 have聽 custom wheels and聽 a lift kit i can go just聽 about聽 any ware, if聽 you can afford a Mercedes or聽 BMW who cares what聽 it聽 cost聽 to have聽 it聽 worked on
LOL, I guess you missed my point. Besides, there are mercedes vans out聽 there that are as affordable as a Toyota van, you just have to know where to look. There's a lot of owners of BMW's or Mercedes, for that matter, any higher luxury car brand that once the warranty expires that they just get rid of their cars,specially when they are not handy and can't work on their own cars. It doesn't mean they can't afford the maintenance, it's just the car has more issues to deal with as the car gets older.
Well, this eventually adds up as the car gets older and no longer worth saving, might as well get a new car.
I don't know if your familiar with the Manila dealers, but there's a dealer here in Manila that I won't mention the name that want's Php300,000 up front to service the car as part of a service agreement for a privately imported car.
LOL, Just because one can afford a Mercedes or BMW, it doesn't mean one can't shop around for decent maintenance shop.
The Customs Collector is extremely strict and plays by the Rulebook since last Year.
This is the theoretical rulebook :
The importation of privately owned vehicles (POV's) to the Philippines is very restrictive. The process is long, requires a great deal of paperwork, and a special import permit is required. This permit is available only in the Philippines, and can not be issued by an embassy or consulate office
CUSTOMER MUST BE PRESENT FOR CUSTOMS CLEARANCE
Only returning Filipino residents and foreign embassy diplomats are allowed to import motor vehicles "Duty Free"
All motor vehicles must have an Import Authority Permit issued by the Philippine Bureau of Import Service before the vehicle is shipped.
Owner must have lived abroad for at least one year and car must have been registered in his name at least six months if the car is more than three years old, vehicles more than three years old should be registered under shippers name at least one year prior to application of the Import Permit
Failure to comply with above will result in PENALTIES AND CONFISCATION of vehicle
Auto must arrive within 60 days of customer's arrival
Destination Agent must be contacted prior to shipping any vehicles
All vehicles subject to taxes and duties
Gasoline-fueled cars limited to 2,800 cc not over 1,500 kgs
Right-hand driven vehicles not permitted
Only one vehicle allowed per family
Autos five years old or older not permitted
Banned/unauthorized motor vehicles subject to seizure; owner subject to Penalties
Documents required:
聽 聽 聽 聽 Original Registration and proof of ownership
聽 聽 聽 聽 Import Permit from Department of Trade or Bureau of Import
聽 聽 聽 聽 Surety Bond
聽 聽 聽 聽 Original Bill of Sale
聽 聽 聽 聽 Original Passport
聽 聽 聽 聽 Certificate of arrival
聽 聽 聽 聽 Stencils of chassis/engine number
聽 聽 聽 聽 Deed of Sale or Commercial Invoice
聽 聽 聽 聽 Other documents, depending on customer's immigration status
---------------
To import a car in balikbayan boxes as car parts is customs fraud and misdeclaration and I doubt they will not find the multiple boxes.
Car parts are actually also on the list of restricted items...
And then there is the issue with the registration of a foreign vehicle ...
from what I know there is more hearsay than anything else around. Everyone who has never done it, has an opinion and the ones which do it regular ( Dealers) keep their mouth shut an smile..
here is my golden advice :
Go to Cebu port and ask for the Customs Collector. Tell him your desire and start arranging. If he likes you (that is up to you and your Impression) things can go smooth. If not, better sell the car back home.
Cheers
Also remember, a lot of used cars are imported from Japan, Korea and Singapore. The cars themselves are well maintained. However, these are all right hand steering. In the Phils, they do a quick conversion to left hand drive, but dont necessarily do a good job. Make sure you find out where the car is imported from. Check the headlights, most common mistake is that they do not reaim them to point left instead of right.
I don't know if thats still the case now or not. Another idea is get a truck with a blown engine ship it over and swap it out with a diesel.
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