Blog Archive

Tuesday, January 16, 2007

Imported Cars Met With Stiff Fees



If you're one of the many people sending cars to be sold in Armenia, have a look:
...26,157 cars were imported to Armenia 7,302 of which of Russian trade mark and 18,855 of foreign mark.

According to the law on environmental payments, 5-10 years old cars have to pay additional environmental fees in the amount of 2 percent of customs duty. Cars 10-15 years old have to pay 10 percent of the amount and 15 and more years old cars pay 20 percent of the customs duty.

The ministry of nature protection explains that new cars are less harmful for the environment and people will be encouraged to buy more new cars, thus causing less environmental damage.
Since when does the Armenian government tax imports to help the environment? I think what they're really doing is promoting the import of newer cars, which in turn means higher customs duty. Regardless of how they may claim to assess duty - and they refused to estimate how much they've collected from imported cars - more expensive cars end up paying much more than their less expensive counterparts.

Source: Panorama

2 comments:

Anonymous said...

My understanding is that all this started from 1 January and really it was to sort out the environment. For example, all cars imported into Armenia have to catalytic converters. I psoted something linking to documents detailing this here.

Rhyne said...

I have a hard time believing that there is no ulterior motive, but I'm a pessimist when it comes to Armenian government policies.