* Impounding means the temporary seizure of a vehicle. This usually happens for reasons such as: parking violations, being involved in a crime (as evidence), or operating the vehicle without proper documentation (insurance, license, registration). The vehicle is held until the owner resolves the issue that led to the impound. The owner typically pays fees to retrieve their vehicle.
* Forfeiture means the permanent seizure of a vehicle. This is a more severe penalty and usually happens when the vehicle was used in serious crimes like drug trafficking, smuggling, or other major offenses. The government then takes ownership of the vehicle. The owner generally has no right to get the vehicle back.
Sometimes a vehicle may be impounded *and* then later forfeited if the legal processes involved lead to that outcome.