Importing a car from the UK has become a more complex process following Brexit, with new customs regulations, taxes, and duties. Whether you’re bringing in a personal vehicle or importing for business, understanding these charges is essential. Below is a comprehensive guide to the steps and costs involved.
1. Customs Duties for Car Imports from the UK
The amount of customs duty you pay depends on the car’s country of origin, value, and type. For vehicles made outside the UK, duties may apply at different rates depending on trade agreements between the exporting and importing countries.
Example:
For cars imported into the EU, the typical customs duty rate is 10% of the vehicle’s customs value. This value includes the purchase price of the car and the transport costs to the import country’s border.
2. Post-Brexit Import Regulations
Brexit has created a new customs border between the UK and EU, meaning that cars imported from the UK now often require customs clearance and duties. Vehicles manufactured in the EU, when imported back from the UK, may enjoy lower tariffs due to preferential trade agreements.
3. Calculating Customs Value
The customs value of a vehicle is the total cost of purchasing and transporting it to the destination country. It is crucial to accurately declare this value, as it forms the basis for calculating customs duties and taxes.
Example Calculation:
- Purchase price: £10,000
- Transport cost: £500
- Customs value: £10,500
- Duty rate: 10%
- Customs duty: 10% of £10,500 = £1,050
4. Excise Tax for Car Imports
In some countries, imported cars are also subject to excise taxes, which are calculated based on engine size. In Poland, for example, excise tax rates are:
- 3.1% for cars with engines up to 2000 cc.
- 18.6% for engines over 2000 cc.
- Hybrid cars can benefit from reduced or zero excise tax depending on the engine size.
5. VAT (Value Added Tax) on Imported Cars
On top of customs duties and excise tax, imported vehicles are usually subject to VAT. The VAT is calculated on the combined customs value plus any duties.
Example VAT Calculation:
- Customs value: £10,500
- Customs duty: £1,050
- Total taxable value: £11,550
- VAT rate: 23%
- VAT payable: £2,656.50
6. Total Import Costs Breakdown
To give you a clearer picture, here’s a summary of total costs for importing a car from the UK:
- Customs value: £10,500
- Customs duty: £1,050
- VAT: £2,656.50
- Total cost: £14,206.50
7. Special Cases: Vintage and Electric Cars
- Vintage Cars: Many countries offer reduced duties for cars older than a specific age (typically 30 years or more).
- Electric and Hybrid Cars: These vehicles may qualify for reduced or zero customs duties as part of green transport initiatives.
8. European Certificate of Conformity (CoC)
A CoC is necessary for registering a car in EU countries. For UK cars manufactured before Brexit, the CoC remains valid. However, for older vehicles, a CoC may need to be ordered from the manufacturer. This document proves the car complies with EU regulations and is essential for smooth registration.
9. Vehicle Modifications for Right-Hand Drive Cars
When importing a right-hand drive car from the UK, modifications are often required to ensure compliance with local road rules, such as:
- Rebuilding the dashboard and replacing the speedometer to display km/h.
- Adjusting the headlights and mirrors for left-hand traffic.
10. How to Register a UK Car in Another Country
Before registering a car imported from the UK, follow these steps:
- Complete the customs clearance and pay duties.
- Have all documents, such as the registration certificate, translated by a certified translator.
- Modify the car if necessary (e.g., headlights, dashboard).
- Submit proof of tax payments and vehicle modifications to the local registration office.
11. Additional Considerations: Car Insurance
When importing a car from the UK, you will need to purchase mandatory car insurance. Be aware that cars with right-hand drive may face higher insurance premiums due to increased risk factors.
Conclusion: Consult a Customs Broker
Given the complexity of post-Brexit customs regulations, it is highly recommended to consult a professional customs broker or your local customs office. They can guide you through the process, help you calculate the correct duties, and ensure you comply with all regulations
