Kind and Computation of Taxes Payable by an Expatriate for Bringing a Motor Vehicle in the Philippines

May 5, 1988 BIR RULING NO. 192-88 101 (a) 149 114-88 192-88 S i r : This refers to your letter dated March 9, 1988 stating that you are an expatriate who is now legally allowed to live and work in the Philippines; and that you intend to bring in a second hand motor vehicle for personal use. You now request information as to the kind and computation of taxes you will pay for bringing said motor vehicle in the Philippines. cdt In reply, please be informed that your aforesaid importation of a second hand motor vehicle for personal use shall be subject to both ad valorem and value-added tax whose computation will be as follows: Excise Tax Dutiable value in pesos Px x x Customs duty x x x Other charges x x x Px x x Plus: 10% Px x x Ad valorem tax [15%, 35%, 50% or 100% depending on Engine displacement (in cc)] Px x x VAT Dutiable value in pesos Px x x Customs duty x x x Excise tax x x x Other charges x x x Px x x 10% VAT Px x x SUMMARY Excise Tax Px x x VAT Px x x Px x x ===== Very truly yours, (SGD.) BIENVENIDO A. TAN, JR. Commissioner