American Cars imported to DR

Fabio J. Guzman

DR1 Expert
Jan 1, 2002
2,359
252
83
www.drlawyer.com
Duty on American cars will be phased out in 5 years from the time DR-CAFTA first went into effect with any one of the contracting parties (El Salvador, early 2006). Therefore, by early 2011 there will be no duty on the importation of American cars, assuming as we all do, that the DR will at some point implement the treaty.

Presently, duty is at 20%. It will go down to 15% the second year, 10% the third year, 5% the fourth year, and 0% the fifth.

However, there are other taxes that must be taken into account when importing a vehicle, to wit:

(a) ITBIS (service tax) = 16% of the value of the vehicle, incl. shipping and insurance costs.
(b) Registration tax = 17% of the value of the vehicle, incl. shipping and insurance costs
(c) Expenses at customs = 0.4% the value of the vehicle, incl. shipping and insurance costs.
 

suarezn

Gold
Feb 3, 2002
5,823
290
0
55
Besides the big question is what constitutes an "American" car...

For instance a Honda made in Marysville, OH...Is that American? How about a PT Cruiser made in Toluca, Mexico? A BMW assembled in South Carolina? This is going to be very fuzzy for a long time and basically left to the interpretation of the custom officer.

If you bring it assume you're going to have to pay...
 

Luperon

Who empowered China's crime against humanity?
Jun 28, 2004
4,510
294
83
Somone told me that the Registration tax was increased to offset the tax losses from DR-CAFTA. If this is the case it would appear to violate the intent of the agreement. How can the international community allow this to happen???
 
Sep 19, 2005
4,632
91
48
i was talking to my buddy who lives in the DR and he and his brother are bringing in motorcycles that cost about 20K each... and the tax is over 10K for each bike....that maybe the combined tax....still a lot of money.

He also told me something about importing an american made car... that the car should or will be tax free...IF it 100% made in america....any part not made in america will be subject to some form of tax.....so if the engine is made in japan...but the rest is made in america.....then you will pay a tax on the engines value .

bob
 

Christobal

New member
Nov 28, 2006
23
0
0
www.allaffair.com
I wish this area was a little bit easier to understand. The type of vehicle I purchased today depends on the cost of importing into the D.R. Escalade maybe? Lincoln navigator or towncar? Does anybody know of a company or person you can contact and give them the vehicle description and they give you a ballpark figure?
 

CFA123

Silver
May 29, 2004
3,512
413
83
I wish this area was a little bit easier to understand. The type of vehicle I purchased today depends on the cost of importing into the D.R. Escalade maybe? Lincoln navigator or towncar? Does anybody know of a company or person you can contact and give them the vehicle description and they give you a ballpark figure?

First, I'd think long and hard about the type vehicle you want to import. An Escalade, Navigator, or Town Car? Very big for DR roads and I'd guess not great on holding up on the rough roads. At least I never drove a U.S. made vehicle in DR that had held up well. Also, try parking an Escalade in most DR parking lots :) Maintenance/parts could also be a challenge. If you are intent on spending that much money and buying something that big, forget those makes and consider a Land Cruiser, LX430 or similar. You'll get a lot more respect for your choice of vehicles and won't stand out so much. All in all, what are you talking about saving? $5000 on a vehicle that starts out in U.S. costing $45000 and ends up being US$65-70,000 on arrival in DR?
 
Last edited:

Christobal

New member
Nov 28, 2006
23
0
0
www.allaffair.com
First, I'd think long and hard about the type vehicle you want to import. An Escalade, Navigator, or Town Car? Very big for DR roads and I'd guess not great on holding up on the rough roads. At least I never drove a U.S. made vehicle in DR that had held up well. Also, try parking an Escalade in most DR parking lots :) Maintenance/parts could also be a challenge. If you are intent on spending that much money and buying something that big, forget those makes and consider a Land Cruiser, LX430 or similar. You'll get a lot more respect for your choice of vehicles and won't stand out so much. All in all, what are you talking about saving? $5000 on a vehicle that starts out in U.S. costing $45000 and ends up being US$65-70,000 on arrival in DR?


I would only bring 1 of those vehicles for business/transportation purpose. Unfortunately in the US, american made autos are the standard in transportation and I was leaning more toward an excursion (roads,passenger safety, luggage room, etc) and right now they are so cheap here it might be worth paying the tax. My last option would be looking at a comparble import vehicle. Which from what I have seen are quite expensive in the D.R. also.
Just trying to research.
 

JOKL

New member
Oct 30, 2006
47
0
0
You don't know what you getting into. Bring and american V8 car with DR gasoline price of $4.00 at gallon and you may feel the heat, plus american part are expensive and most of the time are not available in the market ; wich mean that you have to buy it in the US.Stick with Toyotas for DR transportations.
 

Seachange

Member
Jan 13, 2004
222
12
18
www.Banker-Trust.com
First, I'd think long and hard about the type vehicle you want to import. An Escalade, Navigator, or Town Car? Very big for DR roads and I'd guess not great on holding up on the rough roads. At least I never drove a U.S. made vehicle in DR that had held up well. Also, try parking an Escalade in most DR parking lots :) Maintenance/parts could also be a challenge. If you are intent on spending that much money and buying something that big, forget those makes and consider a Land Cruiser, LX430 or similar. You'll get a lot more respect for your choice of vehicles and won't stand out so much. All in all, what are you talking about saving? $5000 on a vehicle that starts out in U.S. costing $45000 and ends up being US$65-70,000 on arrival in DR?

It's not about about expense or practicality when it comes to men (especially American men) and cars, it's about FUN!

I ask you, what's practical about a guy driving around Manhattan in a $90,000 Hummer, or the guy who buys a 580 hp V12 $300,000 Lamborghini Murcielago who only cruises to the neighborhood golf course on Sundays? Or, how about the guy who pays $8,700,000 at Christie's for a 1931 Bugatti Royale Kellner Coupe who doesn't even plan to drive it!

Cars are a guy thing. We like buying and selling them, washing and waxing them, repairing and customizing them, driving them in the snow and mud, up hills and over mountains, we like using them to catch pretty girls with and driving them far in excess of the speed limit. We love them and after devoting time and attention to their care, we want to believe they love us too.

Lets face it, living in the DR is not about being practical. It's about having fun and enjoying to the fullest the short time we have here on earth. No matter how practical you try to be, life will always find a way to kick your butt. Therefore, my vote is naysayers be damned and buy that Escalade or whatever your little heart desires.
 

hi-tec

New member
Jun 15, 2004
154
0
0
Help The Gdp, Pib,

seachange,

ok, as long as you can afford it...

let the gov keep taxes as high as possible as long as possible AND tax hydrocarbons fuel :knockedou as hi as possible too,

i have a plan to offset the results, stay tuned ;)