How much is import tax on a car to Germany?

Importing a car to Germany from outside the EU typically involves a 10% import duty and a 19% import value-added tax (VAT), known as "import turnover tax" (Einfuhrumsatzsteuer). These taxes are calculated based on the car's cost, insurance, and freight (CIF) value, including the purchase price, insurance during transport, and shipping costs to Germany. Understanding these charges is essential for anyone planning to bring a vehicle into Germany, ensuring compliance with tax regulations and avoiding unexpected costs.

When importing a car from outside the European Union (EU) to Germany, individuals face a 10% import duty and a 19% import value-added tax (VAT), which is referred to as the import turnover tax (Einfuhrumsatzsteuer). This tax structure is pivotal for calculating the overall cost of importing a vehicle, which includes the vehicle's price, insurance costs during transit, and freight charges to Germany. Navigating through the complexities of these tax implications requires a thorough understanding of the process and potentially the assistance of experienced moving and relocation services to ensure all regulations are met and to facilitate a smooth transition of your vehicle into Germany.

Calculating Import Duty for Cars in Germany

Car imports into Germany incur several fees, which add to the import tariff. Based on the vehicle's cost, insurance, and freight (CIF) value, customs duty is a major expenditure. This includes the cost of the vehicle in its home country, insurance during transit, and transport to Germany.

VAT is another important factor in import duty calculation. The VAT rate is 19% but varies by vehicle age and type. Keep in mind that VAT is imposed on the vehicle's value, shipping charges, and customs duty. The car's import duty is the sum of its CIF value, customs duty, and VAT. This process can be complicated; therefore, experienced moving and relocation services can help navigate the bureaucracy.

Factors Influencing the Import Tax on Cars

The level of car import tax in Germany depends on various complex criteria. First and foremost, the car's value—the purchase price plus shipping, insurance, and other costs—is high. VAT will be imposed on new or less than six-month-old cars because the German VAT rate is 19% of the entire value if acquired within the EU.

Car import taxes also depend on their environmental impact. The import tax is calculated by multiplying the engine's cubic centimeter displacement by the tax rate. Car fuel type also affects taxes. Due to environmental laws, diesel automobiles are taxed more than petrol in Germany.

Import Tax Rates on Different Types of Cars

Vehicle import tax in Germany varies by type. Different tax categories apply to regular cars, light trucks, and motorcyclists. Each category's import tax is based on the vehicle's engine type, fuel type, engine capacity, and year of manufacture. The tax calculation also considers the car's customs value, which includes the purchase price, freight, insurance, and other fees.

Germany gives tax advantages for electric and hybrid cars, lowering import costs. This incentive promotes green transportation. Luxury and historic cars have higher tax rates due to their higher market value. Importers must understand these details to manage their relocation money and time.