|Classic 1959 Chevy Corvette|
In fact, some people joke that they treat their car like their wife or husband.
I know of someone who shipped an old Crown Victoria, not because she would drive it in the small streets of Metro-Manila but just to keep it in her garage to remind her of the memories of a loved one that she can look, feel, smell, and reminisce.
For a returning resident to the Philippines, who is allowed to ship one automobile, this may become a difficult choice.
For practicality, it is worth comparing their similar brand to what is available at Philippine Market. There are now a number of websites in the Philippines that would give you a general idea of a similar brand auto in the Philippines, if available at all.
One of the most popular sites is https://www.olx.ph/
It is a known fact that all cars intended for the US market have gone through rigorous quality control compared to other countries, like the Philippines.
Therefore, a consumer product intended for the US is different from the same brand consumer product available in the Philippines.
If a similar car is not available in the Philippines at all, that is a very good indication that the vehicle is worth shipping.
With the advent of the internet, the spare parts requirements is no longer a problem as there are some businesses that offer buying and shipping services to Philippine residents.
Whatever one's reason is in contemplating of shipping their car to the Philippines, one must be aware of the very important details.
Only qualified individuals may bring in a used motor vehicle which shall be duly covered by a prior authority to import. Under appendix 1-D of BSP Circular-Letter, Series of 1995, dated October 19, 1995, the importation of used vehicles continue to be regulated and would therefore require prior authority from the Bureau of Import Services (BIS), Department of Trade and Industry (DTI).
Pursuant to Sec.3 of E.O.156 and Sec.1, Part II of the Implementing Guidelines, shipping a used vehicle to the Philippine is a privilege limited to holders of dual Philippine citizenship, or holders of 13G, or 13A, or Special Resident Retiree's Visa ( SSRV ), or holder of 47A and 47A2 issued to awardees of Special Government Project/s (SPG).e.g. Philippine Retirement Authority and Balik-Scientist Program.
The following conditions must be met to get an approval for importation:
1) The vehicle must be left-hand drive:
2) The vehicle has a gross vehicle weight (GVW) not exceeding three (3) tons; Please check the vehicle information located on the driver's side door frame of your vehicle;
3) It is covered by an authority to import (Certificate of Authority to Import) issued under the No-Dollar Importation Program by the Bureau of Import Services (BIS);
There are some requirements that need to be obtained from the originating country prior to this application. Your local consulate or freight forwarder is the best source for this information.
4) It is personally owned and registered under the name of a returning resident or immigrant ( Qualifying individual ) at least six (6) months prior to the date of application for the permit to import with the BIS ;
5) Must have passed Smog Inspection;
6) It is for personal use;
7) It cannot be resold for at least three (3) years.
It is a common misnomer that vehicle importation to the Philippines is tax-exempt. For those who qualify, only household goods are tax-exempt.
For auto, whether brand-new or used, purchased or donated, the imported vehicle is subject to 40% Customs duty, 10% VAT and Ad Valorem Tax from 15% to 100% depending on its piston displacement. Its book value serves as the tax base and not the purchase price nor the acquisition cost. The book value is sourced from universally accepted motor vehicle reference books such as the Red Book, Blue Book, World Book depending on the origin of the imported vehicle.
It is advised that you get the accurate tax valuation before making this decision. It can be done by going to the Bureau of Customs located at Tondo, Manila:
One Stop Processing Center
North Harbor, Manila, Philippines
There is a company that offers this services online for a fee without any obligation to ship. See http://manilaforwarder.com/vehicleshipment.html.
One might have heard of horror stories of those who shipped their vehicles to the Philippines. However, those who had problems are those who did not follow the procedural requirements. Some perhaps listened to their compadres or uncle who claimed they can handle it without following the process. Some might have used a foreign based company that is not familiar with the Philippine regulations.
Contrary to some belief, vehicle shipping to those who qualify is a very simple and easy procedure if guided by a qualified freight forwarder and customs broker.
The decision is based not on money alone as most of those returning back to the Philippines are into their 50's and 60's that have saved enough for their comfortable retirement and wise enough to use the exchange rates in their favor.
|Manila Forwarder shipping vehicles of returning residents.|
Once that car is gone and you have sold it, it is gone.
If you have some relatives that are staying behind in the US and willing to care and keep it for you, it's fine. You may just have to report it as non-operational to your local DMV.
This is a once in a lifetime privilege given to a few. If you can afford it, use it properly. If not, there is always a tricycle or Uber in the corner.