Crackdown: More Luxury Cars Snared In Tax Scam Raids In And Near Bangkok

[Zolt]

When you can afford such cars I guess you can also afford the taxes which go with it no ?

Tax rate on these is 300%, so no, that isn't necessarily true. But with all the corruption that goes around in this place, I'd be surprised if *any* of the guys I've driving imported luxury cars in Bangkok has ever paid the full tax amount on it.

[cloghead]

Looks like someone will be missing their nice 1968 red Mustang. Stand by for auction time.

That DSI man better get his grubby paws off my 'stang. I paid full whack for it last year and it's only in for a tune-up.

And ratcatcher--it's a '69

[IMHO]

thailand has signed fre-trade agreements with such countries as Japan and Australia which are well into their introduction periods - it will be interesting to see what happens when the duties on imports from Japan disappear.

The FTA with Australia was a well orchestrated manoeuvre - lose the 5% duty on Thai imports to Oz, and give the Aussies duty free on anything > 3000cc... The punitive excise taxes changes only a few weeks later insured all benefits only went one way....

As for the Japan FTA, no problem at all - they all manufacture here or in ASEAN anyway, so nothing really to lose... You can be sure it came only with additional local investment pledges, and an 'understanding' that they wouldn't let Indonesia replace Thai manufacturing anytime soon...

Edited June 10, 2013 by IMHO

[Martstar]

Priorities priorities... this is far more important than finding out who illegally laundered those billions of Thai Baht to Hong Kong or finding out exactly why a prominent criminal was given a passport and in doing so breaking a number of Thai laws... TiT.

[hellodolly]

There's an interesting OP ED in the " other newspaper " on this subject which is highly critical of the DSI and covers many of the points raised in posts here on TV.

The writer points out the DSI seems to have known about the luxury car situation but was sitting on it as with many other cases and the only urgency they show is in dealing with allegations against the Democrats.

It describes the DSI is a tool of the government and lacks the strength of leadership to keep it independent.

I know its all been said before on TV but it's good, even vital, that this is being aired in public elsewhere but I wonder if the Thai media have, or will, take this up too ?. Can anyone with better knowledge of this care to add what they know ?

It is remarkable how the DSI have put so much evidence together in such a short time.... and none of it implicating Abhisit.

But I guess that's why they call Thailand amazing !

Reading all the links, this has been going on for years. Why it's so important now God knows. Shortage of cash on the books for the government, or is this a long term sting with democrats involved?

If so? Why no big names shopped yet?

Both It is definatly get the Democrats thing and I believe eventually the Thais themselves will start wondering why prices are so high and all the Government does is try to prosecute Democrats.

The Clones are not exactly the brightest light's in a dim corner. They forget that 52% of the voters did not want them. Obviously the non voters did not want them either . The only reason they did not vote Dem was because they wanted them in essence to declare was on Cambodia.

Also the PT are looking for new ways to raise money to pay for unwanted over priced rice.

[Xonax]

I wonder if the BiB are checking, if any of these imported luxury cars, perhaps have been reported stolen in other parts of the world???

[Thai at Heart]

I wonder if the BiB are checking, if any of these imported luxury cars, perhaps have been reported stolen in other parts of the world???

Huh? They didn't even know they had entered the country with taxes unpaid until a week ago.

[sailblue]

Also it would be interesting to trace the origin of the cars to see if they leagally obtained in the first place. I would guess that a few at least have been stolen. I lost a nice 911 cabrio out of my garage in Sydney, wonder if it is here?

[FarangTalk]

Also it would be interesting to trace the origin of the cars to see if they leagally obtained in the first place. I would guess that a few at least have been stolen. I lost a nice 911 cabrio out of my garage in Sydney, wonder if it is here?

I would say that is highly likely.

The US recently busted a massive theft ring of expat Cambodians stealing vehicles for export back home.

Not to mention influential Thais in large part control the massive, and very lucrative, illegal export vehicle market to Myanmar.

[Joe Mamma]

Man oh man, if they can exert that kind of money and energy to shake a few dollars out, what if they used that same zeal on the problems in the South? Or the flooding, pollution, yaba and drug problems, education system, etc.

[FarangTalk]

This is interesting reading, although this is just a skim from Google and I have read a lot of more recent activity.

From Canada: Organized auto theft rings operating out of Toronto are stealing and exporting luxury cars and SUVs at an alarming rate

http://www.cbc.ca/news/canada/story/2003/01/13/car_theft030113.html

Thai names featured here: 16 Suspects in Stolen-Car Ring Arrested / Vehicles shipped to Cambodia from Oakland

Read more: http://www.sfgate.com/bayarea/article/16-Suspects-in-Stolen-Car-Ring-Arrested-3302740.php#ixzz2VnQhV9Hx

Import of illegal cars into Myanmar (More tax avoidance relevant to the main story)

MAE SOT — The illegal import of second-hand Japanese cars from Thailand into Burma has recently increased threefold, according to Burmese car brokers doing business at the border.

“Now at least 100 Japanese cars are carried by boats into Burma every day,” said a Burmese car broker working in the Thai border town of Mae Sot, which sits opposite Burma's Myawaddy Township.

After arrival at Thailand's ports from Japan, second-hand cars are transported to Mae Sot by Thai companies. Hundreds of Japanese cars are sent to Mae Sot every day, and this week an estimated 4,000 cars were waiting to be carried across the Moei River to Myawaddy, according to an employee of a Thai company.

Observers say that traders are exploiting a legal loophole in the Thai Board of Investment (BOI) law known as the Alien Business Law of 1972 (ABL), which grants an exemption from import duties, export duties and business taxes on certain designated machinery, spare parts and raw materials that are imported into Thailand but not sold in the country.

The price of an illegally imported Japanese car ranges from 200,000 to 300,000 baht (US $5,979 to $8,968), and the average cost of transporting a car is 10,000 baht ($334.50), said a car broker.

More: http://www2.irrawaddy.org/article.php?art_id=21201

Plenty more out reading out there, and not just tax avoidance by a few Pooyais. Plenty of blatant organised criminal activity by Thai officials on a regular basis.

Edited June 10, 2013 by FarangTalk

[drdoom6996]

The cars are being seized, impounded and probably shopped around the good old boy network. Yet no Thais are being hauled off and arrested on income tax evasion and/or grand theft auto charges. And the newspaper doesn't care to follow up on this and smoke them out publicly.

There's plenty of Smoke, , And Mirrors.

[pisico]

Also it would be interesting to trace the origin of the cars to see if they leagally obtained in the first place. I would guess that a few at least have been stolen. I lost a nice 911 cabrio out of my garage in Sydney, wonder if it is here?

Trace the origin of those cars? Wake up! T I T. That would mean actual police, investigate work. God forbid!!!

Add to that that the other end of that trace will lead to powerful individuals in the country. If police chiefs are caught red handed running illegal casinos in Bangkok and their "severe punishment" is to be transferred to an inactive post, that should give us the clear picture of Amazing Thailand.

[Lammbock]

The high tax on "luxury" cars is so ridicules. If I have to pay 9mio Baht wich is around 220.000 Euro (As seen in Siam Paragon) for a 7series BMW no wonder people looking for a way around to buy cars like these.

Why Thailand always has to be different in so many things.

Edited June 10, 2013 by Lammbock

[o2eZy]

what do they mean with locally assembled ..and the lack of equipment

I am an authorised inspector in AU and you do not need a massive work shop full of tools

these days most components clip together like wire harness and plastic components a few bolts holding some parts together

BMW and Mercedes all are easy to work on

From my knowledge the importers just remove the motor and gearbox and then pay some thai guys to reassemble it

piece of cake

but the only problem would be if they hooked up the wrong wires in the harness then there would be a problem

I will be living in thailand BKK in august so might apply for a job 55555

[FarangTalk]

The high tax on "luxury" cars is so ridicules. If I have to pay 9mio Baht (As seen in Siam Paragon) for a 7series BMW no wonder people looking for a way around to buy cars like these.

Why Thailand always has to be different in so many things.

Several of the 7-series BMW models were legally assembled in Thailand at a BMW facility. Not sure about now.

Due to BMW's high quality control they simply couldn't use local manufactured materials thus could not meet the required percentage to afford them a tax break similar to locally built Honda, Toyota and Nissan.

Edited June 10, 2013 by FarangTalk

[watcharacters]

i am a poor man but can get about 100,000 bt together ,will i be able to drive 1 of these around the block,or can i only clean it lol

.

polish and wax as well perhaps.

[o2eZy]

is hard to steal late model cars these days because of smart locks and security codes that change every time you take out your key

if you have to replace a key then you have to go to dealer with Vin No and ID then the factory will check on how many keys have been allotted to this car ..If a key is lost then the key code is removed from the computer Via OBD which will remove that key code...usually done by the dealer

so is hard to get around this technology...but the good thieves are usually one step ahead and know the technology

[h5kaf]

The widespread stench of corruption that taints this country will continue unabated. Too many unethical and immoral people with their fingers in the pies and too much to lose.

Even the BiB (DSI) wouldn't dare to be seen driving around in Farraris - surely?

[mot]

The real problem is why farang countries accept thai products to come in with low or no tax at all and let Thailand put huge taxes on their own products (luxury or not)?

[Evolare]

i am a poor man but can get about 100,000 bt together ,will i be able to drive 1 of these around the block,or can i only clean it lol

Probably just wash it..as in auctions they will still sell around current thai market price. ..just look at the drug deqlers cars they sold of a few months back many of them where sold over market price even...

[Evolare]

There's an interesting OP ED in the " other newspaper " on this subject which is highly critical of the DSI and covers many of the points raised in posts here on TV.

The writer points out the DSI seems to have known about the luxury car situation but was sitting on it as with many other cases and the only urgency they show is in dealing with allegations against the Democrats.

It describes the DSI is a tool of the government and lacks the strength of leadership to keep it independent.

I know its all been said before on TV but it's good, even vital, that this is being aired in public elsewhere but I wonder if the Thai media have, or will, take this up too ?. Can anyone with better knowledge of this care to add what they know ?

Actually thai media is talking about it and asking the questions but no good answers are given...but thais are aware of it and ask the same questions...like i said my gfs brother is working with autosales and he says they wont name names becsuse even dsi officers drive around in cars like this...its a travesty circus or what ever you want and its to take peoples attention from the more current issue of the rice scam

[bander]

120 luxury cars seized for possible tax evasion

By English News

BANGKOK, June 10 – Thai authorities seized 120 luxury cars, suspected to have been illegally imported, in raids at various locations in Bangkok and other provinces yesterday.

Tarit Pengdith, director general of the Department of Special Investigation (DSI), said authorities confiscated the vehicles from three assembly workshops, two used car dealer outlets and several houses and condominiums.

Six luxury cars were earlier seized by police who charged the owners of tax evasion.

Mr Tarit said some of the luxury cars were installed with liquefied petroleum gas cylinders to mislead authorities.

In one of the raids in Prachinburi province, police found and seized 37 luxury cars from a car assembly plant.

He said the DSI will meet with six related state agencies today to discuss developments in the luxury car scandal and announce the names of owners of “super cars” worth over Bt4 million each.

DSI's Tarit said owners of a number of luxury vehicles, including well-known personalities, have contacted the authorities to assert their innocence and willingness to be inspected.

The abbot of Wat Pak Nam, Irrigation Department director general Lertvirote Kowattana and the secretary to Justice Minister Kasem Rattanasunthorn were among them.

Mr Tarit said earlier that luxury cars registered between October 31, 2010 and May 31 this year will be checked, targeting cars with market prices of Bt4 million and higher. (MCOT online news)

-- TNA 2013-06-10

DSI's Tarit said owners of a number of luxury vehicles, including well-known personalities, have contacted the authorities to assert their innocence and willingness to be inspected.

Or willingness to bribe the officials?

[pistachios]

Only in Thailand can a Buddhist monk owns a Lamborghini... Incredible.

[theajarn]

What? People aren't paying their taxes!?!?

The DSI should go after the grandaddy of tax evaders then... onto Dubai~!!

Oh wait... he's wearing a red shirt...

...nevermind~!!!

[theajarn]

When you can afford such cars I guess you can also afford the taxes which go with it no ?

But this is "Amazing Thailand" .. can hear that elevator music playing in the background.

People who can afford these cars usually don't pay ANY taxes. Often they fly first class on TG free of charge. These also don't get traffic tickets and can go straight to the front of every line. Some of them are "public servants" with low Govt salaries but yet they can manage to "save" enough to have multi million $ houses also. Average people worship and even vote for them because they and their families are so clever.

When you can afford such cars I guess you can also afford the taxes which go with it no ?

But this is "Amazing Thailand" .. can hear that elevator music playing in the background.

People who can afford these cars usually don't pay ANY taxes. Often they fly first class on TG free of charge. These also don't get traffic tickets and can go straight to the front of every line. Some of them are "public servants" with low Govt salaries but yet they can manage to "save" enough to have multi million $ houses also. Average people worship and even vote for them because they and their families are so clever.

No, it's because they were such good people in their past lives that they are so filthy rich and powerful. But you knew that of course!

[theajarn]

When you can afford such cars I guess you can also afford the taxes which go with it no ?

200% to 300% tax is very stiff indeed. I can afford it but just can't bring myself to do it. It goes against my grain to pay three times what the car actually costs.

When you can afford such cars I guess you can also afford the taxes which go with it no ?

200% to 300% tax is very stiff indeed. I can afford it but just can't bring myself to do it. It goes against my grain to pay three times what the car actually costs.

Tough titties then... but that's how it is in a LOT of Asian countries... I remember it being the same in the Philippines. That's just the way it is. Don't like it? Buy a Toyota.

[retell]

i am a poor man but can get about 100,000 bt together ,will i be able to drive 1 of these around the block,or can i only clean it lol

can look at one for about a hour

[lee b]

wow nice cars ! How difficult it must be to hide 2000 of them haha

[Sunderland]

The high tax on "luxury" cars is so ridicules. If I have to pay 9mio Baht wich is around 220.000 Euro (As seen in Siam Paragon) for a 7series BMW no wonder people looking for a way around to buy cars like these.

Why Thailand always has to be different in so many things.

If someone wants a luxury car, pay for it ... taxes included. Otherwise, you could argue about the price of a plate of 'som tam' in London being unfair, or the price of anything anywhere being unfair. Local customs, rules and regulations apply all over the world ... although some are enforced more than others.