The Rally-Ride Guide MongoliaCharity Rally 2015

We provide the rally...You provide the ride...

Get some WHEELS The purchase of your vehicle is an important decision to take. The Mongolian authorities are very strict about what can, and cannot, be imported into their country, and if you make the wrong choice the price could be high.

To avoid this, we have one simple rule, have your vehcile approved by our team before you spend money on it! We take your vehicle information and get it pre-approved by the authorities in Mongolia for you. This means no surprise taxes, no additional last minute fees, and most importantly, the possibility of printing out all your vehcile passport information before you leave so you can cross the border with minimal hassle.

Hopefully this guide will help you choose a great, tax exempt vehicle that can easily be approved by our team!

Make sure you read on for the full information, but the fundamental points are these:

• All vehicles taking part in the Mongolia Charity Rally must be pre-approved through the Charity Rallies website. Our team in Mongolia pre-approves rally vehicles with Mongolian customs, so this is essential!

• Some vehicles are subject to import taxes upon entering Mongolia and we don’t cover import tax costs. As a general rule, tax is due if the vehicle is a) older than 9 years; and/or b) it is registered as a passenger (luxury) vehicle.

• Only vehicles useful to the Mongol people should be driven as these will be donated on arrival. This is not a banger rally, and Mongolia doesn’t want – or need – our scrap metal.

• Vehicles must be no more than 9 years old due to incremental Mongolian import taxes. This rule applies to all vehicles, including ambulances. The only exception is for motorbikes.

• Consider getting a left-hand drive (LHD) vehicle, as there is a possibility the Mongolian authorities may soon limit the import of right-hand drive (RHD) vehicles into Mongolia. LHD vehicles will therefore be a more valuable donation in the country.

• We are here to help! Not only do we have a really experienced team on the ground in Ulaanbaatar who can help you choose the best rally-ride, we also have a team in London that has spent years painstakingly navigating the maze that is Mongolian import tax and is here to help you!

So how does it work in practice? The rules about vehicle selection are straightforward, but not always easy. In this guide you’ll find a Yes/No chart that should help you through the maze of questions that is vehicle selection, and a picture gallery to give you an idea of what you should, and should not, drive.

So what are the questions you should ask yourself?

1 - How old is the vehicle?

This is a simple rule. If your vehicle is older than 9 years old, it is not eligible to take part in the Mongolia Charity Rally. There are two reasons for this:

a) By virtue of it being older than 9 years (i.e. for the Monoglia Charity Rally 2015, any vehicle manufactured before 2006), you’ll pay import tax. b) given the tax status of a vehicle over 9 years old, it is very difficult for us to then donate or sell in Mongolia.

2 - If it’s younger than 9 years old, what is the issue with tax?

All vehicles entering Mongolia permanently incur taxes. There are three types of vehicle tax for Mongolia.

a) and b) Customs and VAT come to 16.5% of the value of the vehicle. Go help covers this cost for you, so you don’t need to worry about it. However, it does mean that it is important to be careful when filling out the value of your car on the official paperwork. Not only does that evaluation have an impact on the taxes we pay for you, but also on the resale value of the car once in Mongolia. c) The third type - Import Tax - however is even more important as this is a cost you will have to bear yourselves.

Needless to say that finding an import tax exempt vehicle is top of everyone’s agenda.

3 - So, is your vehicle tax exempt?

Cars younger than 9 years old fall into two categories: luxury (passenger/family) vehicles, and others. Luxury vehicles incur import tax, the others don’t.

a) A luxury/passenger/family vehicle is anything that is designed to carry passengers, by definition, but in small numbers. Family size estate cars, hatch backs, jeeps, landrovers, mini vans with fewer than 10 seats, and pretty much anything you’d see driving round the city.

b) On the flip side, the ‘other’ types of vehicles are anything that does not have the formal purpose of transporting family/people. This includes pick-up trucks, normal trucks, vans, lorries, fire engines, ambulances, motorcycles and campervans. It also includes mini-vans that have more than 10 seats (this is no longer considered a small group of people), buses (same thing again), and anything commercial (read for example an icecream truck!) :-)

4 - Are you unsure if your vehicle is a van or a family size car?

Some vehicles are ambiguous and, understandably, it is not always easy to know what the deal is. Firstly, what matters most is how the vehicle is registered on the V5 or equivalent. The best example is the Renault Kangoo. A Renault Kangoo, as per our Rally Ride Guide, falls into the tax-exempt category as a van.

However, if the Kangoo is 4x4, in most countries it is then classified as a luxury passenger vehicle, suddenly incurring import tax. Unfortunately there’s nothing we can do about this, unless you can manage to get the official status changed on the registration, and the Mongolian authorities accept this when they inspect the vehicle for approval.

WILL YOU HAVE TO PAY IMPORT TAX? This is just a guideline. For final confirmation on tax status, you must submit your vehcile details to our team for evaluation by the Mongolian authorities.

Does your vehicle have 2 wheels?

Is it an emergency vehicle? (ambulance,

fire truck, etc.)

Was your vehicle manufactured

between 2006 and 2015?

Is it a campervan, van, truck, or pickup?

(Be careful, there are a few exceptions listed

on the next page)

Is your vehicle a luxury (passenger) vehicle? The

description on the V5 registration form is what

counts here.

Is it a bus, mini bus, or people carrier?

Does it have at least 10 seats including

the driver?Email

joanna@gohelp.org.uk for advice.

Your vehicle will probably incur

import tax.

Your vehicle should be

tax exempt.

YES

YES

YES

YESYES

YES

NO

NO

NO

NO

NO

NONO

YES

Vehicles and their import tax status

Tax exempt vehicles

Motorbikes are tax exempt.

Trucks are tax exempt.

Single and double cab (i.e. two and four door)

Ambulances are tax exempt, both road and defender.

Campervans are tax exempt.

Firetrucks are tax exempt!

Incur import tax

Hatch backs incur import tax

4x4 passenger vehicles incur import tax

People carriers incur import tax.

Coupés incur import tax...

Convertibles, unfortunately, incur import tax!

Some vehicles are not so straightforward

Tax exempt cars

Single cab pickups are tax exempt. (i.e two doors)

Vans are tax exempt

Buses are tax exempt

And their exceptions

But double cab pickups are not necessarily. (i.e. four doors)

But be careful of some vans, like the Renault Kangoo, that are sometimes registered as luxury vehicles if, for

example, they are 4x4. Carefully check the registration documents.

But only if they have at least 10 seats, including the driver. Any fewer and the bus/mini bus will incur import taxes.

If you think your chosen vehicle will incur taxes, how much will it be?

Vehicle Age

Engine size 0-3 years 4-6 years 6-9 years 10+ years

Below 1500cc 500$ 1 000$ 2 000$ 6 000$

1501-2500cc 1 500$ 2 000$ 3 000$ 7 000$

2501-3500cc 2 000$ 2 500$ 4 000$ 8 000$

3501-4500cc 4 500$ 5 000$ 6 500$ 10 500$

4501+cc 7 000$ 7 500$ 9 000$ 13 000$

Thank you for supporting Charity Rallies! Once you’ve selected a vehicle make sure you contact us BEFORE you pay for it!

1. We have forms for you to fill in detailing your choice of vehicle.

2. We take these details to the Monoglian authorities who confirm the tax status of the vehicle so that you know before you buy just how much tax, if any, you’ll have to pay.

3. This process can take some time so, while we try to get back to you within 5 working days, the sooner you submit the details to us, the sooner you’ll be able to purchase your vehicle.

We can’t stress this enough: if you purchase your vehicle without having it approved through us, we are not responsible for the taxes you may incur.

4. Contact us if you have any questions!

Name Title Location Skype ID Email Languages

Joanna Rally Commander Brussels joanna.meadejoanna@

gohelp.org.uk

English; French; Spanish

Javzaa Head of Mongolia office Ulaanbaatar javzaa726Javzaa@

gohelp.org.uk

English; Mongolian