Importing Vehicles

The importation of a vehicle into India can be complicated. It is advisable to check with the nearest Indian consulate to discuss the situation and determine if the importation of the particular vehicle is permitted or viable. There are a number of conditions related to the import vehicle, such as: •    The transfer of residence regulations allows returning Indian nationals and foreigners coming to India to work to import one motor vehicle but it will be subject to tax which is a percentage of the CIF value.•    The automobile must not be over three years. Check with the authorities on their manner of determining the age of the vehicle. •    The tax on used motor vehicles is based on a depreciated value according to the registration year. •    No left hand drives are permitted. •    The shipper must have resided abroad for at least 2 years and must have owned the car for at least one year. •    The car should arrive in India within 6 months of the shipper’s arrival in India. •    All non-diplomatic old or used cars will be cleared in Nava Sheva or Mumba while new cars will be cleared in Nava Sheva, Mumbai, Chennai and Calcutta. •    Only diplomatic cars can be cleared through the New Delhi customs•    All automobile customs duties must be paid in Indian rupees. Some of the required import documents are the original vehicle registration or title, original bill of lading, a two-year "No Sale" bond executed at time of import, an insurance policy, and the original manufacturer's invoice.  Some of the guidelines in importing a vehicle are:•    A new imported vehicle is defined as a vehicle that has not been manufactured or assembled in India, and has not been sold, leased or loaned, or has not been registered for use in any country prior to the importation into India. •    The imported new vehicle should have a speedometer showing the speed in kilometers/hour, have right hand steering and controls, have photometry of the headlights to suit “keep-left” traffic, and be imported from the country of manufacture. •    The imported new vehicle should conform to the provisions of the Indian Motor Vehicles Act 1988 and any rules made thereafter.The conditions for an imported second hand vehicle are similar to a new vehicle with relation to right hand drive requirements. The importer should submit a declaration indicating the period of roadworthiness is at least 5 years from the date of importation into India, and it should be supported by a certification from any of the government-accredited testing agencies. There should be an assurance of service facilities within the country during the five year period. A homologation certificate is needed for every car. Homologation is the process of certifying a car is roadworthy and the Pune-based Automotive Research Association of India (ARAI) provides this clearance. Every original car brought into India must have homologation clearance. Even local car manufacturers are required to secure a homologation certificate for their new models.