These DR-Cafta/duty free car threads seem...
to take on a life of their own.
Several months ago a lawyer from Fabio Guzman's office had a meeting with Aduana concerning bringing some
new cars in to the DR that a client of mine (dealer) had purchased directly from one of the manufacturers.
The end result was that Aduana indicated that the duty free provision of DR-Cafta as it relates to new automobiles was removed right before the signing of the agreement. And, my understanding of the provision was that, even though stricken, it never applied to used automobiles.
For those wishing general info, the duty is 20%, the taxes are 16% ITBIS on the value they ascribe to the vehicle, as well as 16 % ITBIS on shipping and insurance, which they calculations for (no matter what you paid for shipping and no matter whether you actually insured the vehicle), plus the first time registration which amounts to 17% of the vehicles value as calculated by Aduana.
Dealers, government officials and Dominicans returning to the Island receive a reduction in these taxes as well as anyone complying with and applying for residency under Ley 168.
Unless and until I can actually verify someone bringing an automobile in under the agreement, I will consider the information from Fabio's office to be valid....in spite of what is being reported in the Dominican press.
Respectfully,
Playacaribe2
Thanks, those two fees/taxes I can understand. That would be 26% to start with.
Anyone know if they tax the amount you actually paid for the vehicle or some imaginary value set by customs?
Do they tax the shipping charges as well?
Any other charges besides those two?