Customs clearance at a discount or go to “Polish plates”: Which option to choose?

Compare two promising legislative initiatives.

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Sometimes at the end of the tunnel is not that of light - the tunnel itself is not visible in principle. And sometimes, that light begins to break on all sides, warming rays of hope and expectation of a miracle. While we didn't manage to convince neither Santa Claus nor snow maiden, so they made a magic wand "vzhuh", and fulfill all dreams. But we are able to analyze every ray of hope, expanding it into its spectrum, and to draw conclusions: in what direction should move.

So, on the agenda two issues: preferential customs clearance and temporary importation. Two initiatives, created by public organizations - "Tomorrow" and "Auto Euro Force", almost at the same time received the status of bills registered in the Verkhovna Rada. Despite the common focus of both organizations – the creation of an open used car market in Ukraine - between them there was even some competition: whose idea is better, solves more problems and has great chances of success under the dome, BP. Let's hope that between the initiators will be only fair competition, which will give a win to all stakeholders.

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Paid temporary import of the vehicle on foreign registration

Option one: bill No. 5567. Its purpose is to allow paid temporary import of the vehicle on foreign registration. In this case, things are moving at the wave of a magic wand - cost requirements of the rules of the Euro, and with them a number of boring bureaucratic stages of customs clearance. The annual pay rate for your car and ride 365 days; then extend for another year, etc. – in fact, the only single moment of interaction between the person importing the vehicle, and the state. Objects of influence of this project – cars and trucks with full weight up to 3.5 tons, trailers and motorcycles. There are a number of limitations: 1 car for 1 person, TC cannot be used with the purpose of business, age of the CU – 7 or more years from year of issue.

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What questions can solve the first variant, the legalization of all "shed" and "peresichny" while stopping the "eternal transit", which in turn should remove the queue for hours together with corruption at the border checkpoints, the trade of "fake" inquiries and a HUNDRED hospitals. A very simple mechanism for importing the car – one step, then a year of legal operation. Small costs when bringing – need to pay only the desired period of use of the vehicle, and that's all. To renew a "subscription" you don't need to cross the border – enough to apply to any customs authority of the SFS.

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Together with the visible advantages of the idea, there were a number of issues. Buying a car abroad for processing machines "out there" for yourself, you need to have a local residence, which is difficult. Or ask the owner, a foreigner to "fit" as co-owner in the registration certificate, or use a scheme "to work for the foreign firm," but it will require the payment of local income taxes. Besides, there is a risk that during a regular inspection in such an organization all the non-existent employees reveal. There is a variant with a power of attorney from the foreigner, it is more or less legitimate and will cost cheaper than others, but it (and all other schemes) a car is not yours, at least legally. This means that you can ride it you can, but to sell it, present formally, put in pledge, etc. - no. You also need to ensure that the foreign registration. Depending on the country, annually may be required to pay vehicle tax, buy insurance and technical inspection of the car – this is an additional cost, and may need regular annual visits to the country of registry of conditionally your vehicle. This leaves open the question of the importation of the vehicle in improper technical condition. Also the rate of interest on the total amount of customs duties will increase from 0.2% in 2017 and 0.5% per month in 2019.

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Preferential customs clearance

Option two: a package of bills No. 5561 and 5562, the total task – to remove the compliance requirements for imported vehicles with mileage standards Euro 5/6, to fix a reduced rate of excise duty of Law No. 1389-VIII to the end of 2020, eliminate the related constraints: 1 car per 1 person per year and a conditional ban on the sale of the vehicle for 365 days. Also in the alternative, certification of the vehicle proposed to carry out the inspection of imported cars. This offer applies to tractors for semi-trailers ("trucks"), buses, cars and trucks, and some special purpose vehicle used (the ones that have mileage over 6000 km, already has an owner and registration).

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Solved questions: all used cars will be to drive and clear without regard to the Euro and the year of issue. "Peresichnyi" can, if they want to legalize their cars. Driven the car becomes your property, which you will be able to dispose of fully. You have the right to choose any vehicle, almost as new, and heavily used, at least 20 years, if only it could pass the certification or inspection.

The points remaining at issue: queues can and do disappear – everything will depend on readiness "eternal transient" to pay for the replacement of "Polish plates" Ukrainian numbers on the machines that they use often.

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The time frame of the mechanism before the end of 2020, would double the price fluctuations in the market of used cars. If the bills No. 5561 5562 and will have legal force, first the prices of virtually all of present transport in Ukraine will go down dramatically, and 2021 everything will return "to normal" - who has time to navigate, can make money on fluctuations, who do not have time to lose.

There is also the risk of coming in a rather interesting segment of the market (due to the accumulated pent-up demand) is a large and influential players, who will be wholesale to buy used cars abroad to implement them in Ukraine. On the one hand, for many it may seem like a simplification – and have bought the finished car on the ground. But in practice it often happens that the monopolization of any segment leads to the creation of artificial barriers to private buyers and a drop in the quality of the product (car after an accident, etc.).

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Time conclusions

Are the two initiatives mutually exclusive and competing?

– No, these are two areas that can easily exist together. To choose between the two proposed schemes of purchasing a car about the same as to choose between traveling by train or plane: one option is cheaper, the other faster. Which one is "your" – depends on needs and possibilities.

Which option is better?

– Both proposals, by and large, are equivalent: each has its own set of advantages and disadvantages. The only question that a citizen is preferable in the moment: to buy a car on foreign registration and with minimal costs (time and money) and start to exploit it, or go through all the bureaucratic steps, spend more money, but to get a car with Ukrainian numbers and his name on the registration certificate.

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Moreover, in different periods and in different circumstances the same person may choose different schemes. Suppose we already have cars on the Lithuanian register – so there is a need to legalize it. Want a quick and inexpensive – we pay an annual subscription. If you see the need to sell a car then a preferable option of preferential customs clearance. Moreover, the money paid for the "annual pass" will be counted in the total amount of customs duties.

What are the chances of these initiatives on the status of the law?

– We will use a kind of statistical approach. In 2016, the taxes on import cars (except for cars from aggressors) is not increased, were not introduced utilization fees, excise taxes and other "subsidiary factors". Moreover, there was adopted the law No. 1389-VIII, which reduced rate of excise duty on a range of imported vehicles. In fact, for the first time in about 20 years, the import taxes the car is not increased, and was reduced – this is a landmark moment. So: the more initiatives the better the chances of reducing the customs clearance and simplification of procedure of import of cars from abroad.

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It is possible that in each of the bills will be amended to committees; may show "resistance of environment" before and during their removal to a vote, the same as during the vote and signing by the President of the then draft law No. 3251. It is not excluded the practice of "delaying" in this state is now a number of potentially useful for motorists bills. But, repeat: the more initiatives, the more chance in General.

In General, it should be noted that all of us would not have to dream and wait for legislative favors, is equal to the real average salary in Ukraine, at least to the minimum actual in the EU. Hardly many of us, getting even 1.5 thousand Euro per month, so hard to think about battered 10-15 year old cars from abroad?


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