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Documents for Imported Car in Malaysia
• All these documents must be presented to the officer in charge at the MITI offices, who will also conduct a short interview. • Processing of your application typically takes seven working days, if all goes well you will be issued an Approval Permit allowing you to import your car. • The permit is valid for only 3 months, if you do not import your car by then, you will have to go through the entire process all over again. • Upon the arrival of your car, you are required to collect it yourself from the port and then you will need to apply for a permit from the Malaysian Road Transport Department or “Jabatan Pengangkutan Jalan”, this entails more registration paperwork which of course will include your proof of ownership and registration documents, a car inspection and the payment of the import duties. • Car in excess of 6 years old is subject to verification and approval by Ministry of International Trade & Industry. • Custom Duties are based on CIF (Cost, Insurance, and Freight) value as determined by Custom examination and valuation dept.
Custom Duties (Taxes) on Imported Cars in Malaysia Various duties are applicable on all vehicles imported in Completely Built-Up (CBU) form for sale in Malaysia, after which Sales Tax is added on.
Basically, there are three categories defined by the Royal Malaysian Customs & Excise Dept and following a rationalization exercise early in 2000, these are:
• Passenger Cars (including Station wagons) • 4X4 Vehicles (Excluding models like the Subaru Impreza which are considered Passengers Cars) • Others (Vans, MPVs, etc.)Passenger Cars (Petrol Engines)
Duties All duties/custom taxes imposed on imported goods will need to be paid in advance before the goods can be released. The same applies for exported goods. All exported goods will need to settle the export duties prior to clearance.
Duties/Taxes levied on any goods imported into the county include: • Import duty • Sales tax • Excise duty
Import Duty Duty import rates vary according to the type of goods to be imported. The rates imposed on each good imported is describe in column 4 and 5 of the First Schedule under the Customs Duties Order 1996. It is possible that imported goods are exempted from the import duty. However, it is not exempted from the sales tax. Passenger Cars (Petrol Engines) Import Duty:- Up to 1799 cc 140% of CIF (Cost, Insurance & Freight) 1800 cc – 1999 cc 170% of CIF 2000 cc – 2499 cc 200% of CIF 2500 cc – 2999 cc 250% of CIF 3000 cc and above 300% of CIF
Import Duty for passenger cars with diesel engines is set at a flat rate of 120% of CIF. Sales Tax is calculated based on 10% of (CIF + Import Duty charged)
4X4 Vehicles & Others Import Duty:- Up to 1799 cc 60% of CIF 1800 – 1999 cc 80% of CIF 2000 – 2499 cc 150% of CIF 2500 cc – 2999 cc 180% of CIF 3000 cc and above 200% of CIF
Sales Tax For imported goods, sales taxes are calculated and assessed by: • The value of the imported goods • Value of customs duty involved • Value of excise duty involved
Export Duty Column 5 of The First Schedule under the Customs Duties Order 1996 indicates the export duty rates imposed on particular exported goods.
The word “Nil” printed in column 4 and 5 in the Customs Duties Order 1996 indicates no export and import duties will be levied on export and imported goods.
Declaration Form All goods meant for import and export either it is under import/export duty or otherwise must be declared in writing in the respective forms; customs form No 1 for imported goods customs form No 2 for exported goods.
Declaration forms must be filled in detail including providing true and valid information regarding the number, description of packages/crates, value, weight, quantity and type of goods. The origin of the goods will also need to be informed. This applies for goods meant for exports as well where the final destination of the goods is notified. Completed Custom forms will need to be submitted to Customs offices at the place where the goods are to be imported or exported.
Customs Agent Under the provision of the Customs Act 1967, importers and exporters are allowed to appoint any agents to act on their behalf with the condition that the agents had been given the approval by the Customs Director General for customs clearance duties. Application for legal agents will need to be given to the customs office at the location where the goods are to be imported or exported.
Separate approvals are not necessary to manage customs clearance duties for each customs office. For example; if approval has been given to manage customs clearance duties in Johor Bahru; this means that the same approval can be applied to all customs clearance offices in the country on the condition that the state Customs Director has been informed.
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