Buying a new car in Israel?

[moish]

i was under the impression that an oleh chadash gets a car tax free similar to tourists and taxi drivers. guess i was wrong

[Drago]

i was under the impression that an oleh chadash gets a car tax free similar to tourists and taxi drivers. guess i was wrong

There is a tax reduction from the regular 110% or so till 78%. But you still pay VAT on top of this.

[Dan]

There is a tax reduction from the regular 110% or so till 78%. But you still pay VAT on top of this.

Cars have a 110% tax 
Why?

[972sg212]

Congrats

[Moishebatchy]

Cars have a 110% tax 
Why?

Excise.

ETA: Not sure if that's the correct term, but I mean the kind of tax they put on something simply to discourage people from actually buying it, so as to limit its proliferation.

[ChAiM'l]

Just to provide closure on this thread, I ended up buying a 2012 Ford S-Max.

Nice. I have the same here...

[Drago]

Cars have a 110% tax 
Why?

The historical reason is that cars used to be a luxury item in Israel, so they were taxes out the wazoo. But just like all taxes, once instituted, they're impossible to remove.
Israel also has a desire to have fewer cars on the road due to congestion.

Nice. I have the same here...

Also from Talpiot? What 'discount' were you able to negotiate, and which model did you buy?

[Moishebatchy]

Also from Talpiot? What 'discount' were you able to negotiate, and which model did you buy?

Location: LHR

[Drago]

You're so smart!!
Thanks R. Batchy

[shmu]

anyone have info how to make a profit of importing a car to israel as an oleh chadash?
oleh has no use for the car in israel.

[Vosizderneias]

Ive heard that must keep car in olehs name for 2 yrs, cant verify though

[philbenjoe]

I've heard that too. Also you cannot transfer owenership unless you pay tax...which doesn't make it worthwhile.

[Drago]

Ive heard that must keep car in olehs name for 2 yrs, cant verify though

Can do a 'passport to passport' sale.

[hertzinstl]

I've heard that too. Also you cannot transfer owenership unless you pay tax...which doesn't make it worthwhile.

Can you sell it for $1 ?

[philbenjoe]

Can you sell it for $1 ?

donno. i doubt it cause that would beat the system the easy way and dont think the israelis would fall for that.

[Centurion]

if you can lay out the money and garage it
after to years you can sell it
without paying the mechez on inport only the tax on the sale
ex. buy a honda in us after two years still worth more money when you sell than what you paid.
this was the logic we did it on the late 90's

[Drago]

if you can lay out the money and garage it
after to years you can sell it
without paying the mechez on inport only the tax on the sale
ex. buy a honda in us after two years still worth more money when you sell than what you paid.
this was the logic we did it on the late 90's

Kinda doubt that the tax laws in effect then are still in effect.