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-   -   Martriculation? (https://britishexpats.com/forum/portugal-89/martriculation-888772/)

Ton Dec 13th 2016 3:46 am

Martriculation?
 
Does anyone have any experience in importing a vehicle into the Country but not utilising the tax exempt route?

I'm aware ISV is applicable but is this charged as a standalone figure OR added to the value of the vehicle where the total payable is vehicle value + ISV = total import cost?

I've been playing with the IMTT's simulator and for the right car, even paying the ISV can be very cost effective.

mfesharne Dec 13th 2016 6:38 am

Re: Martriculation?
 
I've gone the tax free route but paying the tax can be cost effective (though not hugely so) but only with the right car & only if the steering wheel is on the correct (LHD) side for Portugal.

Yet another option is to buy a car in the UK or wherever you're coming from that's already Portuguese registered...... but check online to see there's no outstanding taxes on it before you buy.

Ton Dec 13th 2016 7:36 am

Re: Martriculation?
 
Thanks for the input.

It seems the trick is to ensure the car is older than 5 (first registered more than 5 years ago) as that allows the maximum percentage discount on the final ISV due, but then not so old that the co2 emissions are excessive.

On that basis a 2011 5 Series (520d) is only €4500 to import. Even with the car being RHD (UK) it still makes sense as the comparable car in Portugal is €25k.

My old 2004 Range Rover on the other hand would be €20k in ISV, purely down to engine size and emissions.

I've had a look at the Portuguese car market in the UK but there isn't much available at any given time unfortunately.

tootlewagon Dec 13th 2016 8:12 am

Re: Martriculation?
 

Originally Posted by Ton (Post 12127960)
Does anyone have any experience in importing a vehicle into the Country but not utilising the tax exempt route?

I'm aware ISV is applicable but is this charged as a standalone figure OR added to the value of the vehicle where the total payable is vehicle value + ISV = total import cost?

I've been playing with the IMTT's simulator and for the right car, even paying the ISV can be very cost effective.

I did this one year ago, with a 2008 (LHD) Nissan, which I bought in the UK for £4K, and then drove down to Portugal. After using the car on UK plates for the (legally-allowed) 6 month period, I engaged a local agent and paid the required taxes to matriculate the car onto PT plates. Overall, the exercise cost me the equivalent of €10k, which is still less than what it would have cost me to buy the same car in Portugal.

mfesharne Dec 13th 2016 8:17 am

Re: Martriculation?
 
You also need to bear in mind that the annual road tax will be significantly higher than a car that was registered here from new....... and that increase can be considerable on cars with big engines or high emissions so check that before you begin the process as well.

As an example, the annual road tax on my 5.9 litre V8 was €776......... fortunately it's a classic car so after that first year, I was able to get it registered as a car of historical interest to Portugal which made it exempt from road tax.

Red Eric Dec 13th 2016 8:24 am

Re: Martriculation?
 

Originally Posted by mfesharne (Post 12128040)
You also need to bear in mind that the annual road tax will be significantly higher than a car that was registered here from new....... and that increase can be considerable on cars with big engines or high emissions so check that before you begin the process as well.

As an example, the annual road tax on my 5.9 litre V8 was €776......... fortunately it's a classic car so after that first year, I was able to get it registered as a car of historical interest to Portugal which made it exempt from road tax.

It's certainly worth checking what that figure will be but it's not true that it will always be more expensive. The method of calculating the annual tax was changed in 2007 - so it's pre 2007 vehicles registered in Portugal that are cheaper than imported pre 2007 vehicles. Post 2007 vehicles all pay the same tax.

Ton Dec 13th 2016 8:27 am

Re: Martriculation?
 

Originally Posted by tootlewagon (Post 12128038)
I did this one year ago, with a 2008 (LHD) Nissan, which I bought in the UK for £4K, and then drove down to Portugal. After using the car on UK plates for the (legally-allowed) 6 month period, I engaged a local agent and paid the required taxes to matriculate the car onto PT plates. Overall, the exercise cost me the equivalent of €10k, which is still less than what it would have cost me to buy the same car in Portugal.

Very helpful, thanks. Do you have a breakdown of that €10k figure?

I'm trying to satisfy myself that you aren't charged the value of the vehicle twice, i.e. once when purchased, and then again on importation.

Very unlikely that is the case but it's the difference between importing and buying in Portugal.

mfesharne Dec 13th 2016 8:45 am

Re: Martriculation?
 
You pay the purchase price of the car when you buy it but the import/registration tax is a set fee calculated according to engine size, emissions & year but it is a set amount not a percentage of the value of the car.

The annual road tax is calculated on similar basis but they consider the vehicle new at time of matriculation not year of manufacture.

tootlewagon Dec 13th 2016 9:09 am

Re: Martriculation?
 

Originally Posted by Ton (Post 12128049)
Very helpful, thanks. Do you have a breakdown of that €10k figure?

I'm trying to satisfy myself that you aren't charged the value of the vehicle twice, i.e. once when purchased, and then again on importation.

Very unlikely that is the case but it's the difference between importing and buying in Portugal.

Ballpark costs were:
Cost of car (£4k) plus Service & Insurance (£500), plus cost of Ferry, fuel and hotels en-route (£750) = £5250 ( or €7000)

Plus:

Cost of Matriculation ( Taxes, Agents fees and IPO inspection) = €3200

Hope this helps..

Ton Dec 13th 2016 10:58 am

Re: Martriculation?
 
Thanks all. You've collectively answered my question.

We're winding down in Thailand, back to the UK for a short trip and then over to Portugal in February.

snaphappy Dec 15th 2016 4:18 pm

Re: Martriculation?
 
I've just done both.

I did ISV free for my Range Rover Evoque which saved almost €7500 and paid the ISV for my Motorhome which cost just over €2000.

I used the guys at Faotir in Faro who charge just €400 per car (The €2000 for the MH included the €400). It can be done yourself, but €400 makes life so much easier.

As already mentioned, depending on the car emissions and engine size, it can be beneficial as some cars have a low (in comparison) ISV

gedscottish Dec 15th 2016 5:23 pm

Re: Martriculation?
 
I reckon your pretty much spot on with your 4k figure to import a 2011 520d, I looked at importing one about 2 years ago and it was going to cost me just over 3.5k.

However, changes are expected for 2017, lets see what January brings.

Ton Dec 17th 2016 12:51 am

Re: Martriculation?
 

Originally Posted by snaphappy (Post 12129855)
I've just done both.

I did ISV free for my Range Rover Evoque which saved almost €7500 and paid the ISV for my Motorhome which cost just over €2000.

I used the guys at Faotir in Faro who charge just €400 per car (The €2000 for the MH included the €400). It can be done yourself, but €400 makes life so much easier.

As already mentioned, depending on the car emissions and engine size, it can be beneficial as some cars have a low (in comparison) ISV

Good to know. The process looks a little arduous so paying a fee for a pain free expedited import doesn't sound unreasonable.


Originally Posted by gedscottish (Post 12129895)
I reckon your pretty much spot on with your 4k figure to import a 2011 520d, I looked at importing one about 2 years ago and it was going to cost me just over 3.5k.

However, changes are expected for 2017, lets see what January brings.

Ah, at least I'm using the simulator correctly! I was actually surprised when I came to that figure as I had heard some horror stories. I wasn't aware of any changes due next year so I'll keep that in mind.

EMR Dec 17th 2016 8:19 am

Re: Martriculation?
 

Originally Posted by Ton (Post 12131055)
Good to know. The process looks a little arduous so paying a fee for a pain free expedited import doesn't sound unreasonable.



Ah, at least I'm using the simulator correctly! I was actually surprised when I came to that figure as I had heard some horror stories. I wasn't aware of any changes due next year so I'll keep that in mind.

I would not hold my breath waiting for any significant changes in the rules Expat forums and the expat press have been telling for years that Portugal will be forced to change its rules by the EU.
Nothing has changed and who knows if it ever will.

snaphappy Dec 17th 2016 10:12 am

Re: Martriculation?
 

Originally Posted by EMR (Post 12131168)
I would not hold my breath waiting for any significant changes in the rules Expat forums and the expat press have been telling for years that Portugal will be forced to change its rules by the EU.
Nothing has changed and who knows if it ever will.

As far as I can tell, Portugal get away with it because it's a fee and not a tax. Of course, we all know that there is no real difference between the two definitions.


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