TAX CONCESSIONS GRANTED TO RETURNING NATIONALS

Returning to reside permanently in Trinidad & Tobago? Well, there is good news for you!! 

In 1994, the Government of Trinidad and Tobago in an attempt to encourage nationals to return home took a decision to grant tax concessions on a motor vehicle and household effects imported by such persons. The following is a summary of benefits to which a returning national is entitled.

Am I eligible for Returning National status?

Requirements for Returning National applying for Concessions.

1. Must be eighteen (18) years old and over
2. A citizen of Trinidad & Tobago
3. Has citizenship of two (2) countries, one of which must be Trinidad & Tobago
4. The spouse of a person referred to in sub-paragraphs (ii) or (iii)
5. Intends to reside in Trinidad & Tobago permanently
6. Must have resided abroad for a continuous period of at least five (5) years immediately prior to his return to Trinidad & Tobago
7. Within the five (5) years prior to his/her return to Trinidad and Tobago to reside permanently; temporary visits to Trinidad and Tobago should not exceed a three (3) month period.

What are my exemptions?

1. A.    HOUSEHOLD EFFECTS

Household Effects or Items for Personal Use:

Examples: air conditioning units, bedding, carpets, clocks, crockery, glassware, cutlery, electrical fans, furniture, record players, household electrical appliances, irons, kitchen and other domestic utensils, lamps, lanterns, household linen, strollers, pianos, pictures, sewing machines, silver and plated ware, stoves and electrical cooking and heating apparatus (e.g. microwave, toasters), stereos, laptop computers and other like articles.

* Import License for Refrigerators, Air Conditioners and Freezers required

* Building materials and foodstuff are excluded.

Please note:

• Are for personal use
• In his/her possession for at least a year prior to returning to reside permanently in Trinidad and Tobago Not for sale or exchange
• Items need to be imported within two (2) months prior to or after returning to Trinidad and Tobago.
• In the case of a family returning, only one (1) householder can apply for concession.
• Returning National Concessions can only be applied ONCE.

Note: Full relief of Customs Duty and VAT is granted to household effects of a Cost, Insurance and Freight (CIF) value which does not exceed two hundred and fifty thousand dollars ($250,000.00TT). 

However, where the CIF value exceeds two hundred and fifty thousand dollars ($250,000.00TT), the goods allocated to the excess will attract the respective rates of Customs Duties and VAT plus ten percent (10%) in Special Tax.         

1. B.     MOTOR VEHICLE

Returning Nationals importing a vehicle from abroad, should note the following conditions: -

• He/she should be the registered owner of the motor vehicle. (Proof of Ownership)
• Requires an import licence from the Ministry of Trade.
• Should import the vehicle within six (6) months prior to; or within one year after they return to Trinidad and Tobago to reside permanently
• The vehicle should be for personal use
• Concession is granted one vehicle per household and can only be granted ONCE.
• Where there is a transfer of ownership of the motor vehicle within two (2) years of the date of its importation into Trinidad and Tobago, there shall become immediately payable by the returning national the taxes (Customs duty and Motor Vehicle Tax) payable had the relief not been granted.
• Vehicle must be of a class or description as detailed in Item 1, Part 1 of Appendix A, Fourth Schedule of the Motor Vehicles and Road Traffic Act, Chapter 48:50 which are private motor cars, rental cars, station wagons or estate wagons.
• Deregistration certificate from relevant exporting authority.

Note: Concession is granted on full Customs Import duty and Motor Vehicle Tax only, Value Added Tax is still payable on the motor vehicle.

Reference of Laws /Regulations

Customs Act Chapter. 78:01- 45 (2) (h) (i), (ii), (iii)

Customs Act Chapter. 78:01- 45A (1) and (2)

Customs Act Chapter. 78:01- Second Schedule Item 6

Motor Vehicles and Road Traffic Act, Chapter. 48:50 – Appendix A, Part I, Item 1

Motor Vehicles and Road Traffic Act, Chapter. 48:50 – Appendix A, Part II

Value Added Tax (VAT) ACT Chapter. 75:06 –Legal Notice 17 of 2016

Value Added Tax (Vat) Act Chapter. 75:06 – Section 44

OTHER REQUIREMENTS
In order to benefit from tax concessions, the Returning National requires:-

• Two Passport Size Pictures
• Affidavit – Original & copy declaring Household Effects and Vehicle
• Copy of Passport
• Original Travel Pattern from Immigration Department of the Ministry of National Security for Five (5) years prior to return
• Birth Certificate (Copy and Original).
• Evidence of Last Address e.g. Recent utility bill prior to return
• Certificate of naturalization (where applicable) - (Copy and Original).
• Evidence of Permanent Residence prior to return (where applicable), for e.g.

• Evidence of dual citizenship
• Social security card
• Evidence of payment of taxes for Five (5) years prior to return
• Evidence of employment for Five (5) years prior to return
• Letter of Termination of employment
• Rental receipts Lease or Mortgage agreement

• Proof of Ownership of Vehicle:

• Bill of Sale for vehicles purchased in year immediately prior to return
• Certificate of export
• Manufacturer’s Statement of origin

• Proof of Registration of Vehicle (where applicable):

• Original registration document
• Certificate of Title stamped or perforated by Customs
• V5C registration certificate

• Assessed Import Declaration:

• e C82
• Bill of Lading in returning national’s name

• List of Household goods being imported

• Legible
• Total Values declared
• Quantities stated
• New items clearly stated (owned for less than one (1) year
• Signed by returning national

• Worksheet

• Import Licence (where applicable) – Vehicle, Refrigerators, Freezer, Ac Unit, Chillers
• Copies of all documents
• Any other document to support returning applicant status.

Note: The services of a licenced Customs Broker/ Clerk, is required to provide guidance for the preparation of documents and the clearance of the cargo.

WARNING: Heavy penalties are imposed for false declarations.