Excise duty on a car from the USA

However, it is worth remembering that importing cars from outside the European economic area involves the payment of excise duty.

How much excise duty on cars from the US?

What is excise duty? Excise duty is a type of tax that is levied on goods imported from outside the countries of the European Union. Its main purpose is to support the state budget, protect the domestic market and limit the amount of imported goods. The excise tax for importing a car from the USA is intended to limit the number of old vehicles entering the country. This excise tax applies to both new and used cars.

What is the excise duty for a car from the USA? This is otherwise known as the fee that must be realised for a car imported from the USA. What's more, you must pay this special tax for any vehicle imported from countries outside Europe.

So how do you calculate the excise duty for a car from the USA? When determining the excise duty, you must take into account both the type and capacity of the engine and the value of the car. Polish regulations provide for different excise duty rates for a US car. You will pay the least for a hybrid car with an engine capacity of less than 2.0l - the excise rate is 1.55% of the vehicle value. For a petrol or diesel car with this capacity, you have to expect to pay 3.1% of its value. For larger passenger cars with an engine capacity greater than 2.0l, the excise duty is 9.3% of the value for hybrid cars and 18.6% for petrol or diesel cars respectively. Interestingly, the excise duty for a US car and an electric motorbike is 0%. It is worth noting that the excise duty for a car does not depend on facts such as the technical condition of the vehicle.

How to calculate the excise duty for a car from the USA? If you assume that you are importing a petrol car with a 1.8-litre engine that is worth USD 8,000, i.e. approx. PLN 32,000, you will have to reckon with the amount of PLN 992 (PLN 32,000 x 3.1 per cent). However, if this vehicle, worth USD 8,000, has a 2.2 litre engine, the excise duty for the car will be approximately PLN 5950 (PLN 32,000 x 18.6 per cent).

It is worth mentioning at this point that in order to calculate the excise duty on a car from the USA, it is necessary to indicate to the tax office the value of the car imported from the USA. It should be emphasised that the value of the vehicle is not equivalent to the price you paid for the car. In the case of imported cars, you can determine the value of the vehicle by averaging market prices, the knowledge of which you can obtain, for example, from advertising portals. In your estimate of value, you can include both the costs necessary to repair any damage and the expenses you will have to incur to bring the vehicle into compliance with Polish road traffic law. As we have indicated, you can estimate the value of such a vehicle yourself; at the same time, in order not to run the risk of this value being undermined by the tax office, you can always make use of the services of a certified expert. After inspecting the car, the specialist will reliably estimate the value of the car.

How to pay excise duty on a car from the USA?

If you already know how much you have to pay for importing a car from the US, it is useful to know how to pay this fee. The first step after calculating the amount of excise duty on the car, according to the formula we provided earlier, is to fill in the AKC-U/S declaration. You can find a template for this declaration related to the payment of excise duty for a US car on, for example, the Tax and Customs Electronic Services Platform https://puesc.gov.pl/.

Where to pay the excise duty on a car from the United States? The next step is to pay the excise duty to the tax office. Remember - always collect the excise duty payment receipt. Among other things, you will need it in order to apply for registration of the vehicle at the relevant transport department. You will need to provide the car's VIN number for this purpose.

How to avoid excise duty on a car from the USA?

If you want to avoid paying excise duty, there are certain exceptions to the obligation to pay this tax. These include the importation of a vintage car and hybrid (plug-in) and electric cars.

As we have already indicated, excise duty rates are lowest for hybrid cars. It is also charged according to engine capacity. Smaller vehicles with an engine capacity of up to 2.0 litres are subject to an excise duty of 1.55% by value. By contrast, for US plug-in cars with an engine capacity of more than 2.0 l but not more than 3.5 l, the excise duty is 9.3% of the vehicle value.

The 0% excise duty covers 2 categories of vehicles imported from the United States. These are US vintage cars, i.e. cars that are at least 30 years old. The second category is electric cars.

When to pay excise duty on a car from the USA?

If you are importing a car from the US to Poland, you need to know how much time you have to pay the excise duty. You must pay the excise duty for the car within 30 days of importing the car. It is important to add that you should attach to your AKC-U/S declaration a statement about the date of importation of the car. If you do not do this, it is likely that the tax office will ask you to complete the declaration.

Remember that you must attach the confirmation of excise duty payment to the car registration documents in Poland.

Is excise duty the only fee you have to pay for a car imported from the USA?

Bringing a car into Poland from outside the European Economic Area involves not only the payment of excise duty. The real cost of importing a car also includes the obligatory VAT, which in Poland is 23%, as well as customs duty and transport of the car from the USA to Poland to its final destination. The amount of customs duty is, like excise duty on cars from the USA, dependent on the value of the car. It is 10% for cars and quads and 6% for motorbikes.