Sunday, November 24, 2024

Determining Low Tax And Duty For Vehicle Import To Zambia

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There are so many challenges that come with buying of cars online, just starting with the idea of searching and choosing that nice car which meets your needs, within your budget and in good condition can be quite daunting.

It’s not only those costs that you have to consider. One ought to sit down and take into account all the other costs of importation. Zambia is one of the landlocked nations in the southern region. With this status the country happens to have one of the highest costs of importation due to lack of direct access to ports and distance is also another cost factor as the nearest port is Dar es Salaam in Tanzania, others are in Mozambique, Durban in South Africa and Namibia through waives Bay.

Necessary Information for the Payment of Tax and Duty
It is very important to adequately prepare the right tax and duty to pay to the Revenue Authority prior to even ordering the car, as paying these tax obligations is a must whenever one is importing a vehicle or any other machines in the country. The Zambia Revenue Authority has so many guidelines and restrictions that have to be adhered to when importing vehicles or machines. The general guidelines are that whenever you are importing a vehicle, the unit shall be subjected to inspections and the correct value ascertained at the point of entry, which in this case is any border point that the vehicle came through. Upon determination of the correct value of the vehicle the importer is liable to settle all taxes as ascertained by the authority within a specified period (maximum of five working days utmost). Other factors that are also considered are the year of make of the car, additional accessories and the engine capacity of the car.

There is a law that was currently passed on all vehicles being imported in the nation that older vehicles that were manufactured before the year 2000 will attract a higher tax than latest models due to the fact that these are considered to have higher carbon emission levels in addition to that vehicles with higher engine capacities, which also fall in the same category of attracting high tax as they also emit more carbon levels in the environment. Go to BE FORWARD.JP
to find vehicles manufactured after 2001.

Points to Consider for Lower Tax and Duty When Buying a Vehicle
With the Zambia Revenue Authority, the right taxes can also be paid in advance as one receives documents such as export certificate, bill of lading and invoice for the car off course the vehicle will still go through the physical inspection process, as that is very important for verification purposes. All these measures have been put in place to make it more convenient for car importers to easily go through the process without much delays as border points can be very congested with lots of vehicles, trucks and cargo awaiting clearance. The risks are even higher for those that are bringing in units, as they are usually target for pilferage and all sorts of vandalism. Tax compliance is very important and one should not risk their units from being impounded as the authority has the power to do so.

In addition to the above I would say that certain vehicles attract low tax and duty, due to their weight, smaller, compact and mid-size cars always get lower tax and duty charges as the tonnage is considered less of a strain on road infrastructure and environment. Low emission cars with low engine capacities and vehicles manufactured from the year 2002 upwards
, these will always save you some money as government policy on importation of cars is to try to encourage individuals and companies to purchase units that are environmentally friendly with low carbon emissions. Vehicles with 1500cc and below are lowest surtax rate refer to the Zambia Revenue Authority in 2016. You can find some excellent car options for import from BE FORWARD.JP

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3 COMMENTS

  1. how does one adequately prepare when authorities arbitrary decide the value of imported cars regardless. One can buy a vehicle at $500 (much lower than freight cost). Once you reach our shores the truth or lies don’t work! Taxes are designed among other things to protect the home industry but when it becomes one of the highest component of government income there is a problem. Government should exploit other sources of income and not heavily depend on import duties.. I think we should exploit the services sector such as insurance, internation call centers, IT development, accounting services because we are endured with potential human capital in that respect. lastly, “…just starting with the idea of searching and choosing that nice car which meets your needs, within your budget and in…

  2. ZRA is now a PF wing . I imported Toyota Camry 2007 they taxed me K60 000. Why are they cheating about paying low taxes for those cars made before year 2000.

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