Thimphu : The nance ministry has announced that the vehicle imports quota rules, extending the deadline for eligible public servants until June 30 this year.
On February 24, the ministry notied that, in keeping with Section 63 (1) of the Pay Structure Reform Act of Bhutan 2022, the vehicle import quota rules are amended for in-service public servants.
exemptions on a value not exceeding Nu 0.8 million per quota. The ministry stated that failure to claim the quota within this extended period will result in its forfeiture.
For public servants who have already claimed their quotas, these remain valid for seven years from the date of issue, applicable to both serving and retired individuals. The ministry stated that for the convenience of public servants, the type and make of the vehicle are no longer mandatory.
With the National Assembly recently adopting the goods and services Tax (GST) and excise tax, a 5 percent GST rate will apply to the import of all vehicles from January 1, 2026.
In addition, the sales tax, which currently ranges from zero to 70 percent, will no longer be applicable from next year.
Customs duty is already exempted on vehicle imports from India under the existing Free Trade Agreement, regardless of quota. With an upcoming Free Trade Agreement with Thailand effective January 1, 2026, vehicle imports from Thailand will also benet from customs duty exemption, mirroring imports from India.
The green tax will be replaced by an excise tax, which will range from 5 percent to 90 percent, depending on the vehicle type and engine capacity.
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