Up to 10,000 luxury cars smuggled a year: Thailand

[Morakot]

Isn't there an established economic assumption that exorbitant levels of taxation will usually not guaranty exorbitant amounts in tax collection?

Edited June 25, 2013 by Morakot

[useronthenet]

A long while ago I remember a politician from France visiting Thailand for the first time, and wanted to see how a so called third-world country was spending the money that was being sent over each year as foreign aid. When he arrived in Bangkok, all he could see were locals driving around in luxury cars, including high ranking officials etc. Needless-to-say soon after the funds were stopped. Perhaps if Thailand didn't impose such high import taxes on foreign goods this kind of thing wouldn't of happened, but then again, this is LOS (Land of Scams)

[MaxLee]

Up to 10,000 luxury cars smuggled a year

Well there you have it folks,... And the DSI didn't "notice" aka "BOTHER"???

I'm not surprised...

The legendary "Department of (back)-stabbing investigation...

Edited June 25, 2013 by MaxLee

[billd766]

Isn't it an odd thing though if Joe Farang wants to bring his favourite car from home he gets HAMMERED and if he is lucky he may get to keep his own car, yet between 5 and 10,000 cars a year seem to float through completely un-noticed.

[wolf5370]

Ridiculous car makes dare to talk about loss when they make yearly billions profit !

I feel ashame to be part of their profit but at least a car bought legally brings a lot of money to the government, hope they will use it wisely.

Thai government makes much more money from taxation of foreign investment than the auto makers who are the ones who put in place most of the money and who provided the training for the workers. By law, 51% of all foreign investment must be Thai.

Sorry Pisico, 51% "fact" isn't really true. BOI approved companies, amity companies and companies that maintain an office/factory here - do not have to follow that rule.

[NongKhaiKid]

Once again, NO CRACKDOWN on customs corruption.

Are these lads made of teflon?

As has been said so many times in these forums Customs and Revenue Departments are notorious as the most corrupt in government and nothing ever gets done but when you think about it both are in an excellent position to help those and such as those.

[technologybytes]

The second paragraph says "The four brands most affected by smuggling and tax avoidance scams or imports through independent dealers are BMW, Mercedes, Lexus and Rolls Royce"

Mercedes account for the bulk of independent imports, many Bangkok dealers like Vasavont sell 50-100 imported Mercs a week and have done so for years, but nobody is yet suggesting that it's a scam or tax avoidance.

Mercedes charge triple price here in Thailand compared to USA and they are made here! When manufacturers are so blatantly greedy it creates opportunity, that's different from a scam.

[pisico]

Ridiculous car makes dare to talk about loss when they make yearly billions profit !

I feel ashame to be part of their profit but at least a car bought legally brings a lot of money to the government, hope they will use it wisely.

Thai government makes much more money from taxation of foreign investment than the auto makers who are the ones who put in place most of the money and who provided the training for the workers. By law, 51% of all foreign investment must be Thai.

Sorry Pisico, 51% "fact" isn't really true. BOI approved companies, amity companies and companies that maintain an office/factory here - do not have to follow that rule.

So... does that mean (according to your posting) that those companies do not pay taxes? Or have to have any % of Thai investors/employees? Illuminate us with your knowledge, please! But, observe that exceptions do not represent general rules.

Edited June 25, 2013 by pisico

[wolf5370]

Ridiculous car makes dare to talk about loss when they make yearly billions profit !

I feel ashame to be part of their profit but at least a car bought legally brings a lot of money to the government, hope they will use it wisely.

Thai government makes much more money from taxation of foreign investment than the auto makers who are the ones who put in place most of the money and who provided the training for the workers. By law, 51% of all foreign investment must be Thai.

Sorry Pisico, 51% "fact" isn't really true. BOI approved companies, amity companies and companies that maintain an office/factory here - do not have to follow that rule.

So... does that mean (according to your posting) that those companies do not pay taxes? Or have to have any % of Thai investors/employees? Illuminate us with your knowledge, please!

No - I never mentioned taxes at all - so not sure what "according to your posting"[sic] refers to at all.

If you want the "knowledge" just Google "BOI Approved business Thailand", "American Amity Thailand", and for regional head quarters "ROH Thailand"/"Regional headquarters Thailand". This is all pretty much well know information though.

[newermonkey]

The government needs this "lost" income to pay to the rice farmers. "Robin Hood Scheme"

[cup-O-coffee]

I would wager that those individuals who are wealthy enough to pay the exorbitant costs to possess one of these cars and avoid the scrutiny from the police, insurance companies and licensing agencies do not give one iota of concern for what this man thinks.

I would also wager that those individuals who are not wealthy enough to pay the exorbitant costs to possess one of these cars and avoid the scrutiny from the police, insurance companies and licensing agencies also do not give one iota of concern for what this man thinks.

Hence, this man is wasting everyone's time and angering very powerful people in the process when he makes them lose a lot of money and means of pleasure.

So all you Thai natives; here is your government in action once again on your behalf, and I am certain all of you do not give one iota of concern.

Hence, in summary, The Nation just wasted a lot of people's time describing a moot point.

Next...

[gerry1011]

I was actually going to open a new topic on this very subject after seeing a farang test driving a brand new Lambo out near my place on Sri Nakarin rd. I understand that there are farangs making a bit of dollar out her on good expat packages, but can they really afford tens of millions for a new super car?

Some can, but probably not the ones you think about with their "expat packages"...

If you saw the farang test driving at Niche Cars you can be reassured. Niche cars is the official Lamborghini dealer. If you buy there you pay full price, with lots of taxes included. So you saw not only a rich farang, but a honest one too

Edited June 25, 2013 by gerry1011

[kurnell]

I was actually going to open a new topic on this very subject after seeing a farang test driving a brand new Lambo out near my place on Sri Nakarin rd. I understand that there are farangs making a bit of dollar out her on good expat packages, but can they really afford tens of millions for a new super car?

Some can, but probably not the ones you think about with their "expat packages"...

If you saw the farang test driving at Niche Cars you can be reassured. Niche cars is the official Lamborghini dealer. If you buy there you pay full price, with lots of taxes included. So you saw not only a rich farang, but a honest one

Have you bought a car from Niche?

[gerry1011]

I was actually going to open a new topic on this very subject after seeing a farang test driving a brand new Lambo out near my place on Sri Nakarin rd. I understand that there are farangs making a bit of dollar out her on good expat packages, but can they really afford tens of millions for a new super car?

Some can, but probably not the ones you think about with their "expat packages"...

If you saw the farang test driving at Niche Cars you can be reassured. Niche cars is the official Lamborghini dealer. If you buy there you pay full price, with lots of taxes included. So you saw not only a rich farang, but a honest one

Have you bought a car from Niche?

That's not a question anybody should take the risk to answer on this forum

Some of the well known serial posters would rush in to... Well, you know how it is on here.

Just believe me that the cars leaving Niche Cars are fully paid, all taxes included, clean,... and fun to drive

[jmccarty]

Isn't it an odd thing though if Joe Farang wants to bring his favourite car from home he gets HAMMERED and if he is lucky he may get to keep his own car, yet between 5 and 10,000 cars a year seem to float through completely un-noticed.

I have been told I can not bring my car I bought in Singapore into Thailand at all. Owned it while working/resident there for 2 years, then company transferred me to Thailand. Now unable to sell the car there due to changes in banking loan regulations putting it out of reach to the average resident there and I continue to pay the bank monthly for a car sitting unused there! Has made my stay in Thailand a loss of Bht 100,000 per month since I was moved here last year in October. No thanks to a government that allows my company to be BOI registered and gives the business tax relief to invest here, but then provides no means for the employees to move here and transfer knowledge to and hire Thais without significant personal financial losses.

Edited June 25, 2013 by jmccarty

[VocalNeal]

If it wasn't for the dumb-ass import tariffs then there wouldn't be a bl00dy market for smuggled cars (and bikes) ...<deleted>

These dumb-ass import tariffs as you call them are nothing more than income tax levied of people who don't pay any. Can afford a grossly pretentious car on 100,000 a month declared salary? Of course! Then the government would like the tax it didn't get on the earnings you didn't declare to get the money in order to purchase the car.

<deleted>? Really?

Edited June 25, 2013 by VocalNeal

[kurnell]

I was actually going to open a new topic on this very subject after seeing a farang test driving a brand new Lambo out near my place on Sri Nakarin rd. I understand that there are farangs making a bit of dollar out her on good expat packages, but can they really afford tens of millions for a new super car?

Some can, but probably not the ones you think about with their "expat packages"...

If you saw the farang test driving at Niche Cars you can be reassured. Niche cars is the official Lamborghini dealer. If you buy there you pay full price, with lots of taxes included. So you saw not only a rich farang, but a honest one

Have you bought a car from Niche?

That's not a question anybody should take the risk to answer on this forum

Some of the well known serial posters would rush in to... Well, you know how it is on here.

Just believe me that the cars leaving Niche Cars are fully paid, all taxes included, clean,... and fun to drive

Were you the dude test driving a Lambo on Sunday?

[gerry1011]

I was actually going to open a new topic on this very subject after seeing a farang test driving a brand new Lambo out near my place on Sri Nakarin rd. I understand that there are farangs making a bit of dollar out her on good expat packages, but can they really afford tens of millions for a new super car?

Some can, but probably not the ones you think about with their "expat packages"...

If you saw the farang test driving at Niche Cars you can be reassured. Niche cars is the official Lamborghini dealer. If you buy there you pay full price, with lots of taxes included. So you saw not only a rich farang, but a honest one

Have you bought a car from Niche?

That's not a question anybody should take the risk to answer on this forum

Some of the well known serial posters would rush in to... Well, you know how it is on here.

Just believe me that the cars leaving Niche Cars are fully paid, all taxes included, clean,... and fun to drive

Were you the dude test driving a Lambo on Sunday?

No...

[Thai at Heart]

Question.

Presumably the official dealers are paying ex factory fob prices with no commissions or vat so the prices once on the showroom floor here should be lower than they are? Shouldn't they?

Edited June 25, 2013 by Thai at Heart

[Thereisnoif]

And they only found out now ?

What a <deleted> joke .

Just go to Shrewsbury, Pattana, ISB, NIST or most international schools' parking lot , let alone Thai Hi so schools like Assumption, BCC or Mater Dei on any given day and check out for yourself .

Almost 100% of the luxury cars, from an Aston Martin to a E 250 Benz have license plates linking them to grey importers, in other words tax dodgers.

[Thai at Heart]

And they only found out now ?

What a <deleted> joke .

Just go to Shrewsbury, Pattana, ISB, NIST or most international schools' parking lot , let alone Thai Hi so schools like Assumption, BCC or Mater Dei on any given day and check out for yourself .

Almost 100% of the luxury cars, from an Aston Martin to a E 250 Benz have license plates linking them to grey importers, in other words tax dodgers.

Not all grey imports are untaxed.

[winstonc]

Once again, NO CRACKDOWN on customs corruption.

Are these lads made of teflon?

maybe but there full of sh-ite,,,,,how can they know how many are illegal,,????but accept it,im confused ,,

[Thai at Heart]

Once again, NO CRACKDOWN on customs corruption.

Are these lads made of teflon?

maybe but there full of sh-ite,,,,,how can they know how many are illegal,,????but accept it,im confused ,,

It's beyond me. Not one statement that anyone is going to even go and have any inspection of any sort at customs.

[kartman]

Does the Government want a Customs strike/blockade i don't think so they are untouchables.

[Thereisnoif]

And they only found out now ?

What a <deleted> joke .

Just go to Shrewsbury, Pattana, ISB, NIST or most international schools' parking lot , let alone Thai Hi so schools like Assumption, BCC or Mater Dei on any given day and check out for yourself .

Almost 100% of the luxury cars, from an Aston Martin to a E 250 Benz have license plates linking them to grey importers, in other words tax dodgers.

Not all grey imports are untaxed.

Rubbish

[Thai at Heart]

And they only found out now ?

What a <deleted> joke .

Just go to Shrewsbury, Pattana, ISB, NIST or most international schools' parking lot , let alone Thai Hi so schools like Assumption, BCC or Mater Dei on any given day and check out for yourself .

Almost 100% of the luxury cars, from an Aston Martin to a E 250 Benz have license plates linking them to grey importers, in other words tax dodgers.

Not all grey imports are untaxed.

Rubbish

Well i think they wouldn't be bothering to find the owners just turn over some massive grey importers in Bangkok and go through their books. Bingo.

[Songhua]

An average of 5000 - 10,000 luxury cars per year ......

'The DSI have appointments today with owners of four luxury cars'

LOL

[nattydread]

how many of these cars are stolen in the west and find their way to Thailand and other countries in this region?.....somebody must be making big money while the poor sap in the west sees his insurance premiums rise

[rubl]

Now at least my wife believes me when I tell her the reason I won't buy a 'Benz' is because the only people who drive luxury imported cars in Thailand are government officials, criminals and policemen and not because I'm stingy!

Plus all those not rich enough people who have to use illegal schemes to get their much desired luxury car really upset all really rich people who normally pay all those add-on taxes as money doesn't matter to them

[gerry1011]

Now at least my wife believes me when I tell her the reason I won't buy a 'Benz' is because the only people who drive luxury imported cars in Thailand are government officials, criminals and policemen and not because I'm stingy!

Plus all those not rich enough people who have to use illegal schemes to get their much desired luxury car really upset all really rich people who normally pay all those add-on taxes as money doesn't matter to them

I fully agree with you on this point (for once).

Let's get rid of the small players