Car customs clearance in Ukraine
According to Ukrainian legislation, when importing a vehicle into the country for registration it must be “customs cleared”. In most cases the process of “car customs clearance” causes negative emotions, since it is associated with numerous bureaucratic procedures and the payment of significant customs duties in addition to the price of the car. The new Tax Code adopted in Ukraine in 2011 significantly complicated the customs clearance process, which led to potential buyers being reluctant to deal with this process when purchasing a car abroad. Although many websites feature customs calculators that allow a fairly accurate calculation of all payments and fees, the process of customs clearing a vehicle itself remains rather unclear.
Our company is ready to take on all necessary procedures related to vehicle customs clearance and help correctly calculate all required duties and other payments.
When calculating the payments required for vehicle customs clearance, attention is usually paid to the most commonly imported vehicles: motorcycles, passenger cars, trucks, electric vehicles and buses.
The following are taken into account when calculating car customs clearance:
- Import duty – in most cases the duty for vehicles is 10% of the total customs value, but exceptions may include electric vehicles (8%), new passenger cars with engine displacement over 3 liters (6%), as well as diesel buses intended to carry more than 10 people and with engine displacement over 5 liters (20%). These percentage rates are established by the “Customs Tariff of Ukraine” (from 22.12.2011)
- Excise duty, which is calculated depending on engine displacement, vehicle age, the type of fuel the vehicle uses, as well as engine power.
- VAT (Ukr. – ПДВ) is 20% of the sum of all duties (import duty, excise tax and the customs value of the vehicle).
The new Tax Code has significantly worsened the situation with vehicle customs clearance, as it provides for a fee at first registration with the traffic police, which, similar to the excise duty, in its calculation takes into account engine displacement and vehicle age. This innovation has practically made it impossible to purchase old cars (over 8 years old), as in this case the fee rate increases by 40 times.