Buying C4S in Switzerland

A good buddy of mine-- an American-- is temporarily living in Switzerland and will be there for another 1 to 2 years. He wants to buy a new C4S, but he tells me that the price is about $30k higher in Switzerland than in the US (apples to apples comparison). What's the best/most economical way for him to buy a new C4S and drive it in Switzerland NOW and then bring it back to the states in 1 to 2 years? Any input appreciated. GBG

Porsche European delivery?????

I agree w/ Bob, order it through a US dealer for the best price that he can manage and take Euro Delivery (this will cost $2-3k). He'll have to pay the 17.5% VAT to the US dealer to cover the VAT up front (refunded after delivery is taken in the US under normal circumstances, refund wouldn't apply to this scenario since the car wouldn't be exported from Europe w/in 1 year). Keep the car in Suisse for the duration of his stay, then ship it back to the US (he's paying for shipping twice, since it is included in the US price of the car). Since it is then a used car for which he's already paid sales tax, he'll save on the sales tax hit when he registers it in the US. He'll have paid gas guzzler tax/duty when he paid for the car in US dollars. He'll still have paid far less than the $30k differential. Or, since he'll already have paid the VAT, he could just sell the car in Europe prior to leaving and potentially make a profit/break even, since the cars cost so much more over there to begin with. Of course, this will all take a few months for the ordering process to finally get him a car, but what the heck. fwiw..... Jeff

Thanks guys, very helpful.

My recommendation is to contact the Swiss Embassy/Consulate and ask what the regulations are. As you already know, Porsches costs much less here in the US. It may be counter intuitive to buy a European car in the US and ship it back to Europe but it may be the best way to go. I've had buddies ship a Mercedes C Class from Virginia to France and a Ducati Monster from California to Italy when they worked in Europe. I went the European delivery route and picked up a car in Stuttgart and drove it down to Rome, but then again I was in Europe less than a year (I just extended the 3 week(?) comprehensive insurance that normally comes with Euro delivery for the duration of my stay). I think my buddies just paid for shipping and put a deposit down for VAT (refundable once they ship the car/bike back to the US). Check with the Swiss to find out exactly what you need to pay. .: programmatore :.

It will be cheaper and ten times easier just to buy the car in Switzerland...you need to pay VAT to register the car anyways if it's new...after all the headache you might save a thounsand dollars or end up paying even a little more. It's not worth it I've tried every angle and it's just not worth the headache. Plus Switzerland is not part of the E.U so it adds a whole new layer of complexities.

One of the problems we had as Americans working in the EU is that we weren't EU residents and could not buy a car locally let alone open a bank account. Of course it may be different for Switzerland since it is not part of the EU. Again, I recommend checking with the Swiss Consulate. Cheers, .: programmatore :.

Probably better to just lease/rent one for the duration of the stay.

Better worry about federalizing the car when you try to bring it into the US. Find out what is going to be involved.

I disagree w/ this. We lived in the UK for five years, and made the mistake of selling our car here in the US prior to moving across the pond and subsequently paying through the nose for a vehicle. Friends that brought cars over, or purchased through the US Military European Exchange automobile system, and subsequently sold them "on the economy" made out quite well even after paying VAT. If the delta in US vs. European price is truly in the range of $30k, then this guy can certainly better that # by thousands. As I mentioned before, he may even be able to break even or better, because he'll be able to sell the C4S at used European prices. I'm sure that someone on the board can figure out what kind of depreciation/resale is presently occurring for Porsches in Europe. If you figure that there will be about a $15k VAT hit if he keeps the car in Europe more than 12 months, then he's got around $15k left to play with. It all depends on just how badly he wants to cruise around in a P-car. As far as the differences for this deal because of being in Suisse, well that's gonna require some research. Good luck to your buddy GBG. Jeff

Thanks again to everyone who responded. I've already relayed most of this info to him, so it's all much appreciated.

We lived in Germany, now split time between Switzerland and the US. You don't have to be an EU citizen to open bank accounts or buy cars. No one turns down your money. VAT in Switzerland is 7.0%. My experience is I buy the car in the US and ship it over. I'm not familiar with P's Euro Delivery Program but with BMW its not as simple as merely giving the US dealer the VAT and leaving the car in Europe. You have no US title, temporary Z plates issued in Germany and the local Swiss P dealers are not going to help you out as this is not new to them and they don't like it one bit. I always bring the cars back and sell them over here. Getting Swiss plates would be limited to headlight changes (maybe), mirrors and other minor electrical stuff. They can be very odd at times, I had to replace a brand new set of Michelins on an MB a few years ago since the US tires were not stamped with whatever symbol the Swiss required. The Swiss are far simpler to deal with than the EU. They have far more experience with American cars and see this stuff constantly. To sell in Switzerland or the EU, don't plan on getting the European price for a used US car. Concerns include the way Americans maintain their cars and parts issues. Probably take a minimum 10% off. If buyers know you're heading back to the US they can, in concert, all stall until the last minute. This is nothing new to the Swiss and they know how to play the game much better than we do. The P is a lousy car for Switzerland. I left our 3.2 home and took an SL over there in '97. I'd never even consider taking the 996 over. Too long and wide to park. Sits too low to relax with abrupt dips all over the place. Sits too low and too much front end overhang for about half the indoor garages I use -- trouble is you won't know it until you're down one floor then you have to back it all the way out, plead with all the incoming cars to make room for your exit and try to find someone (in a fully mechanized garage of which all of them are) to open the gate as you're in the "in" side of the garage. Needs too much road. While you're pushing 60 mph around an 8 foot wide two lane corner that's totally blind on both sides until the last minute, count on an oncoming S class with German plates showing up using part of your lane and totally locked in fear of curves. This is the norm, not where the curves are as they are constant. Traffic congestion. Expensive fines with photo radar. Three traffic infractions and you're out for a year (forget about lawyers, it does not work that way). Gas at $6+/gallon. And unless you're a very good driver, any number of superb Swiss drivers will blow you away with their VW GTI's. We just came back to the US this week and experienced month's of being teased about not bringing the 996 over. My wife and I asked ourselves at least 50 times if the P would work and every time we came to the same "no" conclusion. So did all of our car nut friends. This is a mild view, if your friend would like to speak with me, send an email. We live in Zug.

Three Oh makes good sense, my trip through Switzerland, around Interlaken confirms the narrow mnt roads.. but oh what fun. If he is set on a Porsche, why not get a new 05 Boxster, take European delivery, and then before the year is up, send it back to a friend in the US, have them sell here, do the same the next year? Probably cheaper than 30K with a new vehicle each year.