Sorry, yet another import question!

Sorry, yet another import question!

Author
Discussion

bobfredstinker

Original Poster:

783 posts

157 months

Tuesday 22nd May 2012
quotequote all
Apologies, I'm sure you get a lot of these from useless people such as myself, but I'm wanting to import a new (showroom fresh) Mustang Boss 302 from the states in the next year or so, and need some help.

I've already done some research and know that I will need to pay VAT when the car arrives in the UK, I have had a shipping quote, and I know that Connecticut is the best place on the east coast when it comes to sales tax. However there are some other things I am unsure about.

Is there a way to avoid US sales tax and export it without registering it in the US?
Will dealers sort this out without you actually having to be there?
Are there any more import taxes on entry to the UK? (HMRC website is useless!)
Do I have to pay port fees?

I read the thread from the other day which spoke about converting it to be UK legal, so I'm ok with that bit.

Is there anything else I need to know that I have forgotten?

Thanks in advance.

Roo

11,503 posts

214 months

Tuesday 22nd May 2012
quotequote all
If the car is being sold untitled you will not be liable for sales tax provided you can prove the car is going for export.

Most US dealers won't sell cars this way as it's against their franchise agreements.

When the car gets here you'll be liable for 10% import duty on what you paid for the car. Add that to the price paid, plus shipping costs and then add 20% VAT.

Then factor in a few hundred quid in the US for transport and handling. The same here for customs clearance, unloading and CHAPs fees. Add a couple of grand more for conversion to UK lighting and testing and you've got a rough idea of the cost.

Roo

11,503 posts

214 months

Tuesday 22nd May 2012
quotequote all
Also, don't leave it a year or so.

The current car is due to change for '15 model year which will be out early '14.

Totally different car.

LuS1fer

41,708 posts

252 months

Wednesday 23rd May 2012
quotequote all
The next gen Mustang also looks like it will be more compact, more Ford worldwide design language, IRS and is likely to be sold worldwide too, replete with a turbo four in base guise for emissions purposes but still retaining the options of the 5.0 V8 and who knows, maybe even the 5.8 650hp lump too though whether these will come to Europe is anyone's guess.

Ford have made little secret of the fact that they are using the M3 as a yardstick for performance.

bobfredstinker

Original Poster:

783 posts

157 months

Wednesday 23rd May 2012
quotequote all
Oh, that's interesting. I think I like the current one more than the sound of the new one. How does the importing process change if it is a used car? And what east coast dealers will do sales for export that you know of?

Roo

11,503 posts

214 months

Wednesday 23rd May 2012
quotequote all
No difference to the process between importing new or used.

If you buy a used car it needs to arrive in the UK in completely original spec or it will be a nightmare to register.

As for which dealers will export it's mainly a case of contacting a few to see who's prepared to do it.

bobfredstinker

Original Poster:

783 posts

157 months

Thursday 24th May 2012
quotequote all
The VAT and import tax, do they both get added as a percentage of the base price of the car, or does the VAT end up being charged on the base cost+import tax (which would obviously make it more?

Roo

11,503 posts

214 months

Thursday 24th May 2012
quotequote all
Cost of car
+ 10% import duty based on car value
+ shipping

Add all that lot together and then add 20% VAT.

Then UK lighting conversion, IVA test, registration fee and road tax.

bobfredstinker

Original Poster:

783 posts

157 months

Thursday 24th May 2012
quotequote all
So you end up paying VAT on the import tax and shipping cost?! Jeez, that seems a bit much!

LuS1fer

41,708 posts

252 months

Thursday 24th May 2012
quotequote all
bobfredstinker said:
So you end up paying VAT on the import tax and shipping cost?! Jeez, that seems a bit much!
Now you know why importers charge so much.

ukcobra

211 posts

245 months

Friday 25th May 2012
quotequote all
If I recall, we have duty on fuel, and then VAT goes on top. So no different to other taxation methods.

I've never had to pay Sales tax on a car that I have exported. It's flushing money down the toilet and completely unnecessary. The challenge with a BOSS is finding a dealer that will work with you to allow you to not pay sales tax and export it.

Roo

11,503 posts

214 months

Friday 25th May 2012
quotequote all
ukcobra said:
I've never had to pay Sales tax on a car that I have exported. It's flushing money down the toilet and completely unnecessary. The challenge with a BOSS is finding a dealer that will work with you to allow you to not pay sales tax and export it.
Correct about the sales tax.

Twin Turbo

5,544 posts

273 months

Friday 25th May 2012
quotequote all
For an East Coast dealer, try Tasca Ford in Rhode Island

http://www.tasca.com/Default.aspx

I'd imagine trying to get a Boss out of any of them will be a struggle. Many are asking "market adjustment" fees....ie charging several thousand $ over list. I don't think Tasca do this, but bear it in mind.

Also, the Boss is only scheduled to run for 2 years (2013 Model Year ie the current car, and last year's '12MY)....at the moment it's not clear if there will be any special edition (Boss/Bullitt/Mach1) for the final MY ('14) of the current car.

As LV51FER says, it's then all change for the '15MY.

If you want to save yourself the hassle, here's one (albeit a '12MY) already in the UK:
http://www.pistonheads.com/sales/3316988.htm

bobfredstinker

Original Poster:

783 posts

157 months

Saturday 26th May 2012
quotequote all
I had already seen that one, but decided it seemed awfully expensive, plus I want one in white.

Roo

11,503 posts

214 months

Saturday 26th May 2012
quotequote all
bobfredstinker said:
I had already seen that one, but decided it seemed awfully expensive, plus I want one in white.
That's about the right price for one by the time it's here and registered.