Thursday, April 14, 2016

Customs in Nicaragua

Exact same machine with 25 bids

So this machine was for sale on Ebay recently with 25 bids and the price is the exact same that I paid.  It would be hard for them to say my machine is worth more when on the free market this is all the money it's worth.
Currently we are awaiting a meeting with customs officials  and this will have to take place after I come back. Apparently they can't meet us with short notice.  I have heard that they never even opened my box to inspect the machine but that remains to be seen.


Sunday, April 10, 2016

Nicaragua Customs

 So now I am trying to import a $400 machine into the country. This machine is a Consew 227r which is an old Japanese machine for sewing leather. It has a slow moving walking foot and creates a great stitch pattern that looks great. The machine is a commercial grade and can be used to sew very thick leather.
I shipped the machine here using DHL and they received the machine into Managua. It currently sits in customs in their holding warehouse. I have paid $400 for the machine, $500 for all the taxes and import fees. So all in with the original shipping I'm at $1300 and now customs wants to charge me an additional $2000 for reasons unknown.
I drove to Managua last week and met with DHL executives and their head lawyer here in Nicaragua and they tell me that if I can't provide better proof of purchase that my chances of success are dwindling. They want something with electronic proof such as a credit card receipt or cancelled check.  Of course I paid cash for the transaction and have a legitimate bill of sale with the owners logo etc.
So far I have had to provide "proof of solvency" which is proof that I am up to date on all my tax obligations with the DGS here in Nicaragua. I also have to prove that I have a RUC card and am registered to do business here in Nicaragua. My Legal paperwork to prove that I am a business here and have the proper partners and am "up to date" all my taxes and bills.
My machine sewing my bag in NYC. Consew 227r
I will have a meeting with customs next month so that means that I will have the opportunity to travel back to the states and get another receipt hopefully and maybe there is an ATM withdrawal on the same day as the machine purchase so a print out of that might help.  I can report back after the customs meeting on what they would like me to do.  In the end, I won't pay anymore taxes and have heard that you can purchase the same machine in Costa Rica or Honduras for the same money and drive it right across the border.  For the price of the taxes,  I can put 4 more and pay for the gas.

My Singer knock-off purchased in Esteli. 
I do have a file that has a breakdown of all the money that has gone into the machine I imported for all the costs. I can post it later to show exactly what it costs to send a package  with DHL here. So far I  have 2 trips to Managua that are 2 hrs both ways so a total of 8 hours driving and about 2 hours for both meetings.  Gas here is expensive and not to mention the amount of police stops to get to and from where your going.  So I am optimistic still but honestly if I had to bet decent money on whether I will receive it or not I would vote no. My only real recourse is through the American Embassy and possibly they have a connection there that can help me. If not, I can save all of you lots of time and money. I think I can deduct this but need to speak with my CPA first on exactly how.  The real tragedy is that I planned on putting a man on this machine, so that means one less man or woman working.