2018 Vietnam Car Import Tax Guide: Rates & Savings Tips

“Buying a car is a big decision. Careful planning is crucial to avoid financial pitfalls and ensure a successful purchase.” This rings especially true when importing a car. Beyond the sticker price, shipping, and insurance, import taxes significantly impact the total cost. Let’s delve into Vietnam’s car import taxes in 2018.

The Significance of Car Import Taxes

Protecting Domestic Production

Car import taxes are a cornerstone of national tax policies. Levied on foreign vehicles, these taxes safeguard domestic automakers, regulate import volumes, and generate government revenue.

An Economic Perspective

According to international economist John Doe in his book International Trade: A Comprehensive Guide, import taxes effectively manage trade balances, shield domestic industries, and attract foreign investment.

Imported car inspection

A Technical Perspective

Car import taxes are calculated based on the vehicle’s value, type, and country of origin. Rates fluctuate depending on the specific country and prevailing regulations.

Decoding 2018 Car Import Taxes

2018 Car Import Tax Policy

In 2018, Vietnam implemented a revised car import tax policy to stimulate domestic production and enhance vehicle quality. This policy adjusted import taxes based on vehicle type and origin.

2018 Car Import Tax Rates

2018 car import tax rates adhered to Decree No. 118/2017/NĐ-CP. This decree outlined specific rates based on vehicle categories:

• Passenger Cars: Import taxes ranged from 0% to 70%, varying by engine displacement and country of origin.
• Trucks: Import taxes spanned from 0% to 50%, contingent on load capacity and country of origin.
• Specialized Vehicles: Import taxes ranged from 0% to 30%, depending on vehicle type and country of origin.

Calculating 2018 Car Import Taxes

To calculate car import taxes, you need the vehicle’s value, type, country of origin, and the applicable tax rate. The formula is:

Import Tax = Vehicle Value x Import Tax Rate

Example Calculation

Suppose you’re importing a truck valued at 1 billion VND with a 20% import tax rate. The calculation would be:

Import Tax = 1 billion VND x 20% = 200 million VND

Calculating car import tax

Important Considerations for 2018 Car Imports

Applicable Taxes

Beyond import taxes, other levies include:

• Value Added Tax (VAT)
• Special Consumption Tax (SCT)
• Corporate Income Tax (CIT)

Professional Consultation

To mitigate import risks, thoroughly research tax laws and import regulations. Seek expert advice for tailored guidance.

Frequently Asked Questions

Did 2018 Car Import Taxes Change?

Car import tax policies are subject to change. Stay updated with the latest information from government authorities.

How to Minimize Car Import Taxes?

Consider these strategies:

• Choose vehicles with smaller engine displacements or lower load capacities for reduced tax rates.
• Opt for domestically produced vehicles eligible for tax incentives.
• Consult car import service companies for expert advice and procedural assistance.

Feng Shui Tips for Car Purchases

• Select car colors that align with your destiny and avoid clashing colors.
• Choose auspicious license plates that complement your feng shui.
• Perform a vehicle blessing ceremony for good luck and safety.

Conclusion

Understanding 2018 car import taxes is crucial for informed decisions when importing a vehicle. Thorough knowledge of regulations empowers you to make optimal choices and minimize costs.

For assistance with car import tax information, contact Hanoi Truck Dealer or call our Hotline: 0968 239 999. We offer 24/7 consultation and support.