Millions Lost In Tax Revenue Over Imported Cars: Thailand

[3SoiDogNight]

Maybe, just maybe,as a previous poster has said the Thai authorities will learn and change the ridiculous import duties, but I doubt this very much. I wonder what the reaction would be if other countries placed a 250% import duty on Thai rice and other goods manufactured in this country - all hell would break loose.

What if some other countries decided it was only fair to place a similar duty on vehicles buit in Thailand and imported to their country...to protect their own car industries.

I was looking into the idea of building some kit cars here in Thailand, but it just doesn't look like its worth the tremendous hassel.....even producting it here in Thailand.

Probably wouldn't be a bad idea. Especially since many of the cars assembled here in Thailand are also made in other countries.

Edited March 16, 2012 by 3SoiDogNight

[MaxYakov]

It is gross new-rich mentality to buy a Mercedes Benz or a BMW. Worst investment possible IMO.

Why not buy a cheaper car and invest the rest of the money in uplifting those less fortunate in one's own country?

Pssst. I can get you crates of uplift bras at less than wholesale to distribute to the 'less fortunate'.

Edited March 16, 2012 by MaxYakov

[Pseudolus]

Are we to take it then that some politician has seen how much tax was actually paid in the car they have just bought? "You told me the tax was 6m baht on top but you only paid $12.75! I'm going to make a press conference about this".

[Thaddeus]

Going back to original article, I just love the use of the word smuggling.

Smuggling happens when no one knows about it except the smugglers.

This is obviously not the case here... someone got a slice of someone else's pie, and then the original owner of that slice kicked up a stink about it..... it's just plain dumb on many levels.

Edited March 16, 2012 by Thaddeus

[samuitone]

UK......2003 BMW 330i.....£1,800 (mai teung saen) !!

TH....... "........."........".......£18,000 (Just shy of a million Baht) !!

There's a 2000 Aston Martin on the 'exchange & mart' website for about the same LOS price as the above Beemer.

Imagine the public outcry if even the (highest ranking) western politician was seen buzzing about in his (personal) high-end, thoroughbred vehicle ?

I've often wondered why second hand cars are so expensive here. However, last year I heard about an Isuzu MU7 for sale. I thought it would be going cheap due to the fact that the owner forgot to apply the brakes after parking one evening. The vehicle ended up half submerged in the neighbor's duck pond. Instead of reducing the price due to this mishap, the owner actually asked for MORE money due to the fact that she had to pay for a crane to retrieve the vehicle !!

My missus wants a car.....I daren't present her with the 'Toyota Crown' which is available for the same price as the 2001 'C' class Mercedes in 'Exchange & Mart' !!

Think I'll rent a Honda City !!

[ZeroDesire]

Anyone who buys one of these cars is not only rich, but stupid.

Yeah, the rich are stupid. That's how they got rich in the first place. Logical indeed :-) hee hee It seems like you haven't lived in Thailand long enough to know that some Thai people judge you by what you wear, drive, etc. If you want to lose the opportunities to make friends/do business with higher class people by being cheap driving old Korean cars, then so be it. Most foreigners who come here are only interested in warm weather and young wife anyway. What do they know about building business connections.

[tombkk]

Just tootling around in my brand new red Evoque Dynamic LUX, my runabout for the odd occasions I am back in Scotland.

No plans to import this baby to a driving sh!thole like LOS.

But regarding the 'lost revenue' with all these dodgy imports. The money hasn't been lost to Thailand as the Customs chaps, all honest and hard-working Thai government chaps have the 'lost revenue' securely in their bank accounts. Great job they have; levying arbitrary rates on imports and when they want something new to tootle about in themselves, they just pick a nice one, make the import duty ridiculously high so the owner walks away or, if the owner has enough cash but the Thai Customs man still really, really wants in, he seizes it anyway and keeps it on red plates until it's time for a new one.

The customs officer does not set the import duty rate. He does not seize arbitrarily either. Let's stay realistic.

[boatguy]

I was wondering which cars you were interested in building have been toying with the idea of buying the old TVR molds and designs from the Russian guy - and setting up a small production.

I am currently setting up some high-end aerospace engineering JVs for the government, so adding a car production may not be so difficult.

Crobe

Mercedes 300 Gullwing

http://www.thaivisa....ost__p__5007682

Edited March 16, 2012 by boatguy

[tombkk]

Import duties and especially exise taxes are high on cars in Thailand, no doubt. This of course creates a market for people trying to avoid those taxes.

What is termed "grey market" here seems to be the parallel importers. Nothing illegal about that, and the business itself does not imply that these are smuggles or tax avoiders per definitionem. Some may be. Some may cheat on the value to lower the import duties, and this is what the DSI is finally cracking down on (did I say "crack down"?).

Just my two cents worth.

Smuggling, as has been pointed out, is not declaring an import to customs at all and trying to avoid all import regulations. This is something else than underdeclaring the value of an import product.

[softgeorge]

A few years ago i built a custom chopper, in Sydney (factory built) not backyard job, great looking machine, a year later i got my retirement visa to live in Thailand, i sent my belongings in 2 large crates to Thailand (first mistake) and then i tried to import my bike here as well, it is brand new, never ridden for displaying in custom bike and car shows, but i wanted to have it here in Thailand, went to the customs department in Bangkok, went through all the offices in all the floors, a young worker who spoke English translated the rules and regulations, ended up at Suvarnabhumi airport (import-export) offices next to the airport, i had a friend of mine do all this with me, he is a lawyer who speaks Thai and English very well,,, i built this chopper with all brand new parts for about $5000.00 AUD, it's what i do,,, after all the calculations were done by all the relevant departments, export from Australia,, import from Thailand,, 300% tax paid on the value calculated by the Thai customs department (note that) it was calculated that my Thai customs etc bill would be around $20,000.00 AUD, the bike is still in Sydney wrapped in cling wrap gathering dust,, People out there, read this and learn from us that have been there,, it's not worth it in any way form or manner, i was later told about the gray importers although i have decided not to persue the matter any further,,NOT WORTH IT AT ALL

Register the bike in Australia, bring it to TH for max. 6 month, than you bring it to Malaysia, where it is, so I think also allowed to be for 6 month

and than you bring it back to TH. You can, possibly play this game also with Cambodia instead of Malaysia and with Singapore, or mix all four countries in a year. Keeps you always a bit busy so.

http://www.gt-rider....s-into-thailand

Could work like that. Check it out.

So it is like doing a visa run for your motor vehicle/motor bike? Bloody discrimination your motor bike gets a 180 day visa and you only get a 90?

[finnomick1]

With all due respect -- so why doesn't the DSI ( a.k.a. the government ) simply close down all these " grey market " dealers thereby solving " the problem " ? Then maybe the DSI staff could be re-trained and given positions at the immigration booths at Suvarnabhumi Airport.....

[x5david]

With all due respect -- so why doesn't the DSI ( a.k.a. the government ) simply close down all these " grey market " dealers thereby solving " the problem " ? Then maybe the DSI staff could be re-trained and given positions at the immigration booths at Suvarnabhumi Airport.....

You're kidding right? Where would they buy their European imports then. They are not serious about shutting this down. Just making their usual annual show that they are doing something.

[NanLaew]

Just tootling around in my brand new red Evoque Dynamic LUX, my runabout for the odd occasions I am back in Scotland.

No plans to import this baby to a driving sh!thole like LOS.

But regarding the 'lost revenue' with all these dodgy imports. The money hasn't been lost to Thailand as the Customs chaps, all honest and hard-working Thai government chaps have the 'lost revenue' securely in their bank accounts. Great job they have; levying arbitrary rates on imports and when they want something new to tootle about in themselves, they just pick a nice one, make the import duty ridiculously high so the owner walks away or, if the owner has enough cash but the Thai Customs man still really, really wants in, he seizes it anyway and keeps it on red plates until it's time for a new one.

The customs officer does not set the import duty rate. He does not seize arbitrarily either. Let's stay realistic.

Not the import duty rate; that is fixed. But they will pull the vehicle valuation out of their arse.

And I know of one Dodge Ram 4x4 that the owner gave up on when Customs invented some incredible base value for calculating the import duty. The truck is on the road in Thailand, owned by someone with a family member who works in a government agency.

No names, no pack drill. We need to watch out for libel.

Just being realistic after all.

[boatguy]

I'm away to business for a couple/few days but am interested in continuing this pursuit.

Let's switch over to private email as I believe this would be better.

Please send me yours and we can continue this discussion.

SENT

[metisdead]

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[metisdead]

A comment on moderation has been removed. You answered your own question:

(thinking they might be losing some members to other forums, I guess)

If you have any more questions, send an email to suppport at thaivisa.com

[tombkk]

Register the bike in Australia, bring it to TH for max. 6 month, than you bring it to Malaysia, where it is, so I think also allowed to be for 6 month

and than you bring it back to TH. You can, possibly play this game also with Cambodia instead of Malaysia and with Singapore, or mix all four countries in a year. Keeps you always a bit busy so.

<link deleted>

Could work like that. Check it out.

So it is like doing a visa run for your motor vehicle/motor bike? Bloody discrimination your motor bike gets a 180 day visa and you only get a 90?

Usually, the bike will get to stay no longer than your tourist visa is valid. At least in Thailand, I don't know about the other countries.