The agreement to remove import duty on cars imported from Australia and Japan is not expected to have much of an impact on the local market although a few new models may enter the market. It only impacts cars imported from Japan, and most Japanese cars are assembled here.
Imported cars are subject to three taxes:Import duty of around 30% and sales tax of 10%. The largest tax is excise duty which can run as high as 105% for cars above 2500cc. Import duty on parts of cars which are assembled here, called CKD (completely knocked down), runs at 10% versus the 30% on CBU (completely built up) cars.
Read More:
- Changes in Time Frame for MM2H Approval
- US Airways to Upgrade International Experience for Customers
- Fly to Sana’a in Yemen with Etihad Airways
What are your thoughts on this article? Let us know by commenting below. No registration required.
"ExpatGo welcomes and encourages comments, input, and divergent opinions. However, we kindly request that you use suitable language in your comments, and refrain from any sort of personal attack, hate speech, or disparaging rhetoric. Comments not in line with this are subject to removal from the site. "
