If you wish to import a car purchased abroad, new or used, you must pay customs duty (GATT) and VAT on the purchase value + freight cost, i.e. on the CIF* value.
If the car was manufactured in the EU, you may be exempted from customs duty (GATT), provided that you have a certificate of origin from the seller. The certificate of origin may either be a EUR1 certificate or a certificate declared on the invoice. A EUR1 certificate of origin must be stamped by the customs authority in the country of shipment. If the certificate is declared on the invoice and the value of the car is more than EUR 6,000, the certificate must have an authorisation number.
The cost of importation is payable to TAKS when the car reaches the Faroe Islands.
*)CIF is short for cost, insurance and freight.