Purchasing Vehicle...who pays what?

The seller must first go to the Fiscalia (in Santo Domingo, this is in Honduras just about 2 blocks above Independencia) and get a certificate that verifies the vehicle is not stolen. This means a queue of about 5 to 15 cars to go in for the inspection one morning, and then present their documents to the office here which will then have the certificate ready in 2 or 3 or 4 days later, depending if they have luz or ambition .(Cost here = RD$80.)

The buyer pays his attorney to write up the sales contract, and to then legalize it. Then the buyer and seller meet, the contract is signed by both parties, each gets a copy, and the money for the vehicle changes hands. Cash is king here - don't take a check or partial payment.

Then the buyer must go to the DGII office with the original Matricula and sales contract , and pay the taxes and obtain the Traspaso. The taxes on a vehicle being sold for RD$260,000 , including all other fees , will run just over RD$11,000. (but no, I don't know the rate, just from prior experience that this is roughly the amount that will be paid at this price).

GringoCArlos said:

... The taxes on a vehicle being sold for RD$260,000 , including all other fees , will run just over RD$11,000. (but no, I don't know the rate, just from prior experience that this is roughly the amount that will be paid at this price).

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That would seem like somewhere around 4% (!). At that rate I wouldn't be surprised that they would declare a lower value in their contracts (?).


Another question: Isn't there a standard contract available for car sales? I can't believe everybody runs to a lawyer for every transaction(?).

... J-D.

The contract has to be authenticated by a Notary Public, reason you have to go to a lawyer. In the DR, notaries must be lawyers first.

Internal Revenue has a list with set values for every car imaginable. Taxes are paid based on the prices on this list, not on the price in the contract.

Is this for a private sale....

or does it apply to purchases from a dealer also??
We are just in the process of purchasing a new vehicle and 'sales' taxes haven't been mentioned at all!!:nervous:

Selling tax

MommC said:

or does it apply to purchases from a dealer also??
We are just in the process of purchasing a new vehicle and 'sales' taxes haven't been mentioned at all!!:nervous:

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Im selling my Montero jeep, does this man I have to add taxes to the sale price and declare it??????

What about Otorcycles?

Fabio J. Guzman said:

The contract has to be authenticated by a Notary Public, reason you have to go to a lawyer. In the DR, notaries must be lawyers first.

Internal Revenue has a list with set values for every car imaginable. Taxes are paid based on the prices on this list, not on the price in the contract.

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I keep hearing about this car list in which taxes for said vehicle are pre-set..But whay cant I find out a price for a Harley Davidson..Who has the list that shows the import tax on a motorcycle..A 2005 Harley Davidson...What would the tax be on that I have made calls to 3 different people and nobody knew....Including the DR import office...and the Dominican Consulate...

Snuffy,the buyer pays the transaction cost,and gringo carlos is correcct,on 260000 rd ,about 11000rd,is paid in the tax.In the past to avoid this tax;people would leave the vehicle in the previous owners name;but should there be any problems ect a crash,hit and run ,the police would go to the registered owners address even if you sold 3 years ago,and then ,the onus is on you ;,the seller,needs be sure the car is not in thier name.and now with all the checks its wise to have it all correct,the other way to offset the cost of this tax, is to offer lower for the car you are buying, say 5 to 10 % .

Traspaso

british bulldog said:

...people would leave the vehicle in the previous owners name....

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This is still being done and to avoid future problems one should stipulate in the sales contract that the lawyer does the traspaso and will give the matricula to the new owner not before it's issued in his/her name.
BTW, I'm selling Mrs. Frog's Montero also...

m'frog

I would strongly advise the seller to insist on having the registration transferred to the buyer, otherwise, he might find himself liable in case of an accident. I know it?s sometimes frustrating waiting for the ?qu?mico? to check the vehicle but it should be done.

fabio,j,guzman,so correct.insist the transfer,we all know the injustices in this country;

confused about import tax

can one of the attorneys possibly post the rules regarding the cost to bring in tvs to the country I was charged twice the amount that I paid for the set the last time I brought one in. no one at the airport could tell me how they figured out the cost. I suspect that there are written rules that might be handy to have when bringing items into the countr. also I was told that there are no import taxes on anything solar is that correct?