Bringing in a car through residency …

Oh no, is this another one of those, what do I have to do in order to import a car under the residency exemption ?


Kind of, sort of, but not really …


So it's pretty much common knowledge the following under the residency exemption …


1) Car must not be older than 5 years old.

2) Car must be free of any loans, or liens on the car.

3) You must have owned the car for a minimum of one year prior to bringing it into the DR.



So here's where it gets cloudy for me.


I have read where a couple purchased a vehicle in the USA for $40k US Dollars. The Dominican authorities determined a value as $52k.


So are there two charges awaiting that car under their residency upon arriving in the DR, one being an import duty, and the other being the 18% tax sales tax ?


So my question is, are you spared the import duty under your residency exemption, but still have to pay the 18% sales tax on the government's determined value, or do you get a reduction on the import duty and still have to pay the 18% sales tax ? What exactly are all the additional costs under your residency exemption ?


So say you bring in a car into the DR under your residency and the DR government has declared a value of $60k, at the end of the day, after any and all duties and sales taxes are owing, what is the total cost to have pay for your car to get plated, registered, and all ready to drive in the DR ?


Thanks for all who share your knowledge with this :)


Ian

There are two charges: one is the import duty, the other is a plating fee (first placa).


The import duty is based on the value of your vehicle. A discount to this duty is applied based on the age of the vehicle (example: we got a 20% discount because our 4Runner was a model year 1019, imported in 2020). And yes vehicles are more valuable here and will be valued at a higher value than what you may have bought it for elsewhere.


The 18% plating fee is charged on any vehicle - bought here new or imported. So, that is a wash as to whether you import or buy here.


So, the expense of importing a car vs. buying is the import duty and, of course, the shipping charge.


Importing a vehicle without residency means you do not get the discount, and maybe more importantly, they may give you a hard time in Customs. I suspect since if one does not have residency their view is why do you need a vehicle imported here, so they suspect you will re-sell and view you as a "dealer". Or they are more apt to tear your vehicle apart looking for contraband, etc., just because. This happened to a friend of ours here.


That's the extent of my knowledge. Whether you import or buy something here is a personal choice based on your situation I think.

Also, what value is applied by Aduanas (Customs) is based on a chart of vehicle values maintained by Aduanas. I believe there is a vehicle tax calculator on the Aduanas web site. How accurate it is I do not know.

If I recall........ the residency discount is significant..... well worth the minimal effort

Way less than the traditional import route

Thanks Rocky for sharing what you know :) This clears up the cloudiness for me.


Thanks Willie, thanks to the both of you :)