To level the playing field for all vehicle owners, the Rates and Taxes Office will target those who still have not renewed their 2016 annual registration by conducting more unannounced Road Traffic Joint Operations.
Furthermore the Rates and Taxes Office has also observed that there are still a high number of vehicles on the road with ownership that haven’t been transferred to the current owner(s). In most cases, vehicles have been sold a few years back; however the transfer of ownership hasn’t been made to date.
The transfer of ownership is governed by the Road Traffic Control Act [CAP 129] and the following requirements must be completed by the vendor and buyers whenever they are in agreement to effect such changes.
Vehicle Ownership Transfer Form
- Required information such as vendor/purchasers name, address, contacts and purchase price are clearly stated.
- Both Vender and Purchaser to sign the form before a witness, most preferably at the Rates & Taxes Office.
- Special consideration is given to expat owners who had left the country but subject to confirmation by a third party.
- If the vehicle is registered under more than one individual (for example, husband and wife), then both signatures are required under the signature of vendor. NB. Both registered owners are required to come down to the Rates & Taxes Office to sign the change of ownership form in the presence of an Officer and the same is required in the case of the purchaser.
- If the vehicle is registered under an entity/company, then an official company stamp is required for certification.
Vehicle Registration Book
- Vehicle registration book issued by Rates and Taxes Office must also be provided to enable the transfer.
Transfer Fee
- The fee - 7% of the purchase price is to be paid before the transfer is effected on the vehicle registration book.
- For gifted vehicles or when vehicles are given for free the 7% fees will still apply on the current value of the vehicle and the valuation must be prepared by a certified dealer.
- A fee of VT2500 will only apply if the Change of ownership involves a transfer from a financial institution such as a bank or credit company to an individual after the completion of a loan to which the vehicle is subjected.
Timeframe for which the transfer is to be effected
- All change of ownership MUST be made within 7 days after the date of sale.
- The person purchasing the vehicle is liable to pay for the change of ownership fee and not the vendor (Seller).
- Exceptions are made if both purchaser and vendor agreed that the vendor will bear the transfer cost.
