Arguing that the objective is to ensure that used cars into Costa Rica are in optimal condition, the new Customs authorities are tightening controls on imported units.
Importers of used vehicles in Costa Rica report that since the new General Director of Customs took office in January this year, is promoting a new guideline that generates uncertainty in the sector.
In the first ten months of the year distribution agencies report having sold 2,115 units.
The companies who are member of the Association of Importers of Vehicles and Equipment (Aivema) reported increases of between 4.6% and 10% in imports of trucks in recent years, in a market with a high level of competition.
Although it has not yet reached pre-crisis 2008 figures, imports of vehicles continue to grow, with 47,750 units imported in the first eight months of the year.
The Association of Importers of Vehicles and Equipment reported the entry between January and August of 47,750 units, of which 26,561 correspond to new cars and the remaining 21,190 were used ones.
Used car importers argue that the Treasury is using the 2015 value of cars as a reference price when establishing the value of used vehicles.
The Costa Rican Chamber of Automotive Companies and deputies from the Libertarian Movement have filed an lawsuit and asked to meet with the Ministry of Finance to complain about the methodology being used to calculate the taxable value of used cars.
Under pressure from importers the government has lowered taxes for importing used motor vehicles, but diluted the reduction by increasing the notional taxable value.
Car dealers in Costa Rica are asking for the establishment of a new formula for calculating taxes on used vehicles.
Sellers of used cars in Costa Rica believe there is discrimination in the way the Ministry of Finance estimates import taxes on cars.
According to Jose Carballo, president of the Costa Rican Automotive Chamber, the industry complains that 52% is charged for new vehicles, while used cars which are over six years old are charged 79%.
The fall in the number of imported used vehicles has continued in the first five months of this year, falling by 40% compared to the same period in 2012.
According to data provided by the Ministry of Finance, the reduction was seen mainly in cars and a little less on vehicles used to transport goods. As for the import of new cars, they were also reduced, going from 17,306 in the first five months of 2012 to 16,425 in the same period in 2013, a reduction of 5%.
Affirming the downward trend of recent years, the number of used cars imported into Costa Rica in 2012 was 30% less than in 2011.
The main reason given for less cars being imported in 2012, only 27,000, 8,100 fewer than in the previous year, was a drop in new car prices following the Japanese crisis.
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