Expert: Ken Rapoza Cruz - 12/26/2008

Question
QUESTION: Dear Sir

In my idea, it is to export the 32 years old car from the US to Brazil as a tourist car  and I will have a tourist visa. (As European I do not need one) . My intention is to become permanent resident as fast as possible. That way, my car can change its status from tourist car and become a personal effect that moved with me.

If I can do that, I will have a car to drive in Brazil the first day I will be there as a tourist (Because I exported my car). Without car, you cannot do anything at all. And as the car is more than 30 years old,it can be imported in Brazil as soon as I will be resident of Brazil and it can also be part of my personal effects...Why not? It's not a new or used car! It's a piece of collection. And if the car is a personal effect over 30 years old, there is not import tax to pay.

Seems to be complicated, but it's very simple to me. Now, I am sure that the customs have no idea about what I am talking about and I am sure that we can do that legally. Because is common sense. What do you know in this matter?
I think a broker is not smart enough or we need to find a good one and a good attorney.

Thanks a lot!!

Best regards
Guy Bodart

ANSWER: Yeah, this seems very messy to me.  Im not so sur eyou can do this at all. On a tourist visa, you have no rights to bring in a large value item like taht to the country. And if you do, you will pay a huge tariff on it. Look, sometimes, and this is rare, people get stopped going into Brazil for brining in LAPTOPS that they bought overseas, and have to pay a 25% or more tariff over the price of the laptop. (If they have a lot of other value items they brought back with them).

You ahve the right, as a tourist, to come into Brazil with no more than $9,999 in cash and goods. If you have $10,000 in cash and goods, you MUST pay a tax over that. Period. Your job is to find out what that tax woudl be on a car, and the first questeion the consulate is goign to ask you is: why the hell are you bringing a CAR to Brazil as a tourist?

Forget it. I dont see it happening.

If you want to move to Brazil, then move to Brazil and get a permament visa and THEN bring your car down.

Now, anything is possible with the help of someone who understands the laws and has a client -- like you -- who is desperate enough to pay big money to bring his car to Brazil.

You dont need a broker, or a lawyer. The first thing you MUST do is talk to the Brazilian consulate or embassy in the state where you are located and tell them the same thing you told me.

Then you will have more information.

---------- FOLLOW-UP ----------

QUESTION: Hello
Thanks for your answer.But You do not have to pay any tax on the money you bring to Brazil.This is not true! You just must declare the money at the custom and nothing else.They will not tax you at all.It's like in the US, you have right to bring $5000.00 in the country. If you bring more you have to delare the money or they can take your money. But I can bring $500.000.00 in the US in cash and all I have to do is to declare the amount to the custom.I did it, because I am an investor.And as I am a businessman ,I can assure you that Brazil will not tax you on your money IF YOU DECLARE IT!If not, you will lose your money.Period.

If I want to enter as a tourist in Brazil, it's my right.It's like if you live in French Guyana and want to go to Brazil by car. You have the right to do that. Of course, you cannot sell the car.
But in my case, instead to come from French guyana, I will come from the US and There is nothing who can stop me to EXPORT a car in Brazil. The law said that you cannot IMPORT a used car. It's very different.Exportation is different.
But you can export any car to Brazil for a few months. And during that time, if will become resident, I will import that car. But the car will be in Brazil. It's very simple to understand. And as the car is more than 30 years old. I do not see why I will have to pay any tax if they consider the Classic car as a persomal effect.

About laptop etc...If you are tourist, they do not have the right to make you pay any tax. It' 100% illegal for tourist to pay ant duties!
But if you import a laptop that is less than 6 months old, and you are resident, you have to pay the customs. But tourists have nothing to pay.I do not know if you are American , but if you are a US citizen and goes as a tourist to Canada or Mexico, they do not charge you any tax. But if you reside in Mexico or Canada, you will have to pay to import your car and everything else.

I can tell you that no one consulate or Embassy of Brazil know the law. I know very well 3 Brazilian Embassadors and they do not even know the law.

Even the Brazilian Tax office do not know the law. They know that you can import the car , but they refered me to brokers...And they do not know a lot about that. Same problem with guns. You can and you cannot. I am wondering what kind of laws they have in Brazil. I am European and I can tell you when you ask a simple question like that to the customs, they can answer you in a few minutes.
Ask the Brazilian Embassy and you will see what answer you will get. NOTHING!

Here is an email from a Brazilian consulate

Dear Mr. Bodart
You need to find a broker - the company responsible for all papers and the container with your moving. I suggest that you get the names in Brazil in the city where are you moving to.
The brokers ( freight forward companies) here in USA, most likely they have an agents in Brazil.

Regards,

Daniela Fisch
Trade Bureau
Consulate General of Brazil in New York
1185 Avenue of Americas, 21st Floor
New York, NY 10036-2601
www.brazilny.org
www.braziltradenet.gov.br
Tel: (917) 777 7665

Dear Mr. Bodart

I'm glad that you are moving and getting married in Brazil. Good Lucky!
I do not have the law, so use the below information to search in the customs in Brazil at http://www.receita.fazenda.gov.br/Principal/Ingles/Versao2/default.asp
·   Decreto nº 4.543, de 26 de dezembro de 2002;

·   IN SRF nº 206, de 25 de setembro de 2002;

·   IN SRF nº 338, de 7 de julho de 2003;

IN SRF nº 650, de 12 de maio de 2006

Also check with www.focusbrazil.org.br the US Commerce Service in Brasil.
The broker company here, once you know that  if you car is  consider collectable, antique or cultural, no for resale and it is 30 years old, is ok to bring to Brasil.


Daniela Fisch
Trade Bureau
Consulate General of Brazil in New York
1185 Avenue of Americas, 21st Floor
New York, NY 10036-2601
www.brazilny.org
www.braziltradenet.gov.br
Tel: (917) 777 7665

Thanks a lot and let me know if you know somebody who did that. Anyway, it's better to pay tax and have the car you like that to pay high price in Brazil to have a car that you do not like .

Thank you very much!!

All my best, please read the email!

Guy Bodart  

Answer
Looks like Daniel Fisch has your answer. If it is 30 yrs or older and a collectibel car, you can bring it in. But Im not sure exactly on the taxes, because I dont know what car you are bringing in.  Fisch recommended  www.focusbrazil.org.br Do it. Good luck.