Vietnam to collect back taxes on ‘diplomat’ cars

The Ministry of Finance has ruled that cars bearing diplomatic plates owned by non-diplomats has to pay back overdue taxes in arrears, Nguoi Lao Dong reported.

According to the new regulation, a tax of 5%-90% will be imposed on around 1,200 bogus diplomatic cars that are in use throughout Vietnam.

Besides, such vehicles will also be imposed a Special Consumption Tax and Value Added Tax.
The government can confiscate or ban such cars in some circumstances.

The bogus ‘diplomatic’ cars were once owned by authentic foreign diplomats who later sold them to non-diplomats after their tenure ended in Vietnam.

In such cases, the diplomatic cars will be turned into normal cars but they have not been taxed yet.

According to VietnamNet, customs agencies have found that from 1998 to the end of August 2009, 4,366 cars which belonged to diplomatic agencies were imported. Of these, 230 cars have been re-exported, and 1,758 cars have been transferred or ruined.

Of the other 2,378 cars, 1,158 cars have mysteriously disappeared, reported VietnamNet – Nguoi lao Dong

Tags: Vietnam automotive, Vietnam automotive industry, Vietnam autos market, Vietnam car imports

Posted by VBN on Jul 20 2011. Filed under Automotive. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry