Ethiopia Vehicle Duty

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Vehicles IMport Duty in Ethiopia

February 2012

Duty is tariff collected on the value of the good calculated on the basis of its actual total costs. It is levied in accordance with the rules of the international convention on the harmonized customs description and coding system. Sur-tax applies on all imported goods, except those exempted by the Council of Ministers Regulation No. 133/2007 at 10 percent rate.

Excise tax is paid on imported goods with a percentage rate ranging from 0 to as high as 100. VAT on imported goods is a flat rate of 15 %. A 3 percent withholding tax applies also on imported goods. These taxes are calculated based on the cost and freight rate. But the Ethiopian Revenues and Customs Authority provides its own CD with details on prices on various goods. The rate is usually calculated as per the price on the CD.This CD is to be updated every three months.

Some imported goods are restricted and require the importer to secure permission from the competent authority.

Here is Duty and taxes applicable on import of vehicles in Ethiopia:

Vehicles with spark–ignition engine of cylinder capacity of 1000-1300cc

Unit of measurement: unit
Duty Rate: 35%
Excise Tax: 30%
VAT: 15%
Sur Tax: 10%
Withholding tax: 3%

Vehicles with spark–ignition engine of cylinder capacity of 1300-1800cc

Duty Rate: 35%
Excise Tax: 60%
VAT: 15%
Sur Tax: 10%
Withholding tax: 3%

Vehicles with spark–ignition engine of cylinder capacity greater than 3000cc

Duty Rate: 35%
Excise Tax: 100%
VAT: 15%
Sur Tax: 10%
Withholding tax: 3%

Diesel vehicles with cylinder capacity not exceeding 1300cc

Duty Rate: 35%
Excise Tax: 30%
VAT: 15%
Sur Tax: 10%
Withholding tax: 3%

Diesel vehicles with cylinder capacity of 1300-1500cc

Duty Rate: 35%
Excise Tax: 60%
VAT: 15%
Sur Tax: 10%
Withholding tax: 3%

Motor vehicles for the transport of goods

Duty Rate: 10%
Excise Tax: 0%
VAT: 15%
Sur Tax: 0%
Withholding tax: 3%

Public transport type vehicles (diesel/semi-d) seat capacity greater than or equal to 15 passengers

Duty Rate: 10%
Excise Tax: 0%
VAT: 15%
Sur Tax: 0%
Withholding tax: 3%

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