Nowadays, car import and export is one of the most popular businesses in all over the world. Even in Bangladesh, many people are doing this business and achieving great success.
However, if you want to import a car from Japan to Bangladesh or from any country, you need to give a certain amount of tax for doing this business. Now you must be thinking about the amount of car import tax in Bangladesh. If you want to know about it, keep reading—
Information on Bangladesh Custom Duty Rates :
Shipping a car to Bangladesh is known to be a cost-effective service. Though the taxes for imported cars usually high, the total cost is not much than the alternative options.
At first, you need to figure out how much it will cost you before you ship a car to Bangladesh. You will need to contact several transport companies for this reason. You will also need to ask the auto import policy and taxes associated with the vehicle. For this reason, you will need to contact the Embassy of Bangladesh.
The amount of payment in import taxes is not the same all the time. So, it is a good idea to contact with your auto transport company and the embassy about the taxes which you must need to pay before the transport.
However, if you want to import a private car with an engine size of 1500cc in Bangladesh, you may need to pay around 25% for duties and a 15% VAT with a supplemental duty, advanced income tax, and regular duty.
Do not forget to save the receipt, because you must provide this as a proof to Customs.
Bangladesh Customs National Board of Revenue (NBR) :
Bangladesh import duty calculator is an important part of shipping a car in this country. Duty calculation is done by adding up the value, freight, insurance, and additional costs. The next step is to multiply the total amount by the duty percentage rate. The calculation method is not the same in every country, so make sure to check this on your country's government website.
The import policy is the primary legislative tool governing customs tariff; those are a significant source of government revenue. They greatly complicate to efforts to lower tariff rates.
The maximum Most Favored Nation (MFN) applied rate is 25 percent, where the average MFN tariff rate is 13.9 percent, including average rates for agriculture products higher than for industrial goods.
Yearly Car Tax :
Now there is a common question about yearly car tax in Bangladesh. Yes, you need to pay for your personal car every year. The amount of personal property taxes is dependent on the current value of the vehicle.
The Tax of Hybrid Cars :
When the system of a car recaptures energy via regenerative braking, combines at least one electric motor with a gasoline engine to move the car, resulting in less gasoline burned, it is known as a hybrid car.
There are mainly three types of hybrid vehicles, such as— Parallel Hybrid, Series Hybrid, and Plug-in Hybrid.
Because of the rising demand for second-hand hybrid cars, the government has allowed their import, but you need to pay a hybrid car tax in Bangladesh. The tax of a hybrid car is much less than the tax of a brand new car in Bangladesh.
Around 99% of hybrid cars in this country are imported from Japan. However, Bangladesh Customs law does not allow to import any hybrid car that is above five years old.
Car Import Rules & Regulations :
Used car, jeep, microbus, minibus are imported in Bangladesh by the following rules—
· Year Restriction :
If the vehicle is more than four years old, they are not allowed to be imported.
· Destination Port :
Ports for shipment of vehicles are Chittagong and Dhaka, but on request of customer container shipping is arranged, which is an expensive shipping method.
· Inspection :
Vehicles that are imported from Japan are required to pass Japan Auto Appraisal Institute (JAAI) inspection.
· Time of Shipment :
The time of importation should be between 19 to 24 days.
· Age Determination :
Age determination is done by calculation from the first day to the next year of
manufacture.
Documents You Will Need for Port Clearance :
You will need some papers and reports during port clearance. They are—
· Copy of work permit
· Original passport
· Title and registration certificate
· Registration, invoice for age determination
· Certificate of the country of origin
· Bill of lading
· The vehicle condition report
· Authorization letter
· Ther import permit from Chief Controller, import & export for foreigners.
After reading this article, I hope there will be no question in your mind about the car import tax in Bangladesh. If you follow all the rules and approach in a straight way, you will get a huge profit from the car import and export business.
