The Ghana Customs’ Excise and Preventive Service (CEPS) (Management Law) PNDCL 330 of 1993, Sections 46, 47, 48, 78-94, 123-192 is the law governing the importation of vehicles in Ghana. This law is accompanied by CEPS (Management) Act 1998, (Act 552), Act 565, Act 598 of 14th April, 2001, Commissioner’s Orders and other Service instructions on vehicles.
Vehicles are categorized by the engine capacity e.g. 1.6cc, 2.0cc, 2.5cc, etc.

In this article we will looking at how to calculate car duty in Ghana and what you need to know about car duty. Vehicles are categorized by the engine capacity e.g. 1.6cc, 2.0cc, 2.5cc, etc, by the seating capacity e.g. 5, 10, 30, 50 persons, by usage/purpose e.g. Buses, trucks, tippers, lorries etc and by age.

Article Outline

HOW TO CALCULATE CAR DUTY IN GHANA.

Vehicle duty is calculated at 5%, 10%, or 20% of the CIF (CIF = value of cargo + FOB + Sea Freight/Transport) on the duty calculator. The Ghana import duty calculator is usually based on the duty rates on the CIF (Cost Insurance Freight) of the product. To calculate the CIF of your vehicle, add the value of the cargo to the FOB (cost of shipping) and the Sea Freight/Transport insurance cost. The used duty calculator Ghana also depends on the HS code.

The age of a vehicle is a crucial determinant in valuation for duty purposes. The age of a vehicle imported under the law is calculated with effect from the year in which the  vehicle was first manufactured. In arriving at the age of vehicles, Customs uses the model year reckoning index which normally gives a round year age point e.g. 1990 or 2000 or the dealer chart matrix.

The model year reckoning index vehicles are those whose ages can be determined from a letter in the 10th position in a 17 character rotation counting from the left. These are some of such vehicles:

  • All US and Canadian vehicles
  • All Korean vehicles
  • Japan (Mitsubishi, Isuzu)
  • German (Opel, VW, Audi)
  • Sweden (Volvo, Saab)

vehicles that have their ages falling under year of manufacture are the vehicles whose age can be determined from charts based on the records of manufacturers’ batches of production.  These vehicles include: German, Japanese and Dutch vehicles e.g. Mercedes Benz, M.A.N Diesel, Toyota, Nissan, DAF etc. These vehicles have their ages determined by reading a chart furnished by the dealers of the type of vehicle.

How To Clear Your Car Through Customs In Ghana

If you want to clear your car through customs in Ghana, these are the requirements to meet:

  • Title and registration
  • Original purchase invoice
  • Insurance papers and Passport
  • The model, make and serial number of the automobile packing list
  • Certificate of value and origin
  • Cars must be between five and ten years old. Note that vehicles older than ten years are subject to additional taxes and duties
  • The car cannot have more than a quarter tank of gas
  • Also, ensure to find out if Ghana requires you to file for a FERI, ECTN, BSC, or an ASHI before the vehicle enters the country.
All vehicles imported into the country unless specifically exempted under the PNDCL 330  attract the following:

  • Import Duty – (0%, 5%, 10%, and 20%)
  • Import VAT – (0% or 12.5%)
  • National Health Insurance Levy – (0% or 2.5%)
  • ECOWAS Levy – (0.5%)
  • Export Development Fund (EDIF) – (0.5%)
  • Examination Fee – (1%)

Furthermore, the various categories of vehicles attract overage penalty when they are more than ten years old.

Read more on some of our posts by this on the links below.

Author