Waiting with VRT till January to have lower rate

artheb

Hi Guys,

I wonder if anyone one knows if I could get a lower VRT rate if waited with VRT till January 2017.

Car is 2010 and entered stated in the beginning of December. When I did VRT calculation it worked out 1950e for no matter what month first registration in 2010 was selected (mine is March 2010). However if I select December 2009, VRT rate goes down to 1650 (300e less). Do you think it would work in my favor if I VRTed the car in January 2017 which would theoretically add extra year to the car's age?

Thanks!

bazz26

Not necessarily, it could also increase. Revenue don't follow that logic when it comes to the OMSP especially this time of year when they know people are waiting for the turn of the year to change.

artheb

I thought it could be as much but maybe someone did that in the past.

dubrov

As I recall the rate of depreciation will increase a full year in January.
E.g. the car would be considered 2 instead of 3 years old.

You can find the depreciation rates on the revenue website.

artheb

So, if the depreciation increases a full year in January, why would it be considered 2 instead of 3 years? Did you mean opposite? It would be 3 instead of 2 years?

dubrov

artheb wrote: »

So, if the depreciation increases a full year in January, why would it be considered 2 instead of 3 years? Did you mean opposite? It would be 3 instead of 2 years?

Yeah. Sorry. 3 instead of 2.

artheb

This thread seems to confirm this theory. However that guy faced different challenge after.

http://www.boards.ie/vbulletin/showthread.php?t=2056875010

D Trent

What car is it

artheb

Mine?

D Trent

artheb wrote: »

Mine?

Yes

artheb

D Trent wrote: »

Yes

Qashqai 1.5dci 2010

riggles2

I am in the same boat but my car does not come up on the vrt calculator so i rang them to be told that I would not know the value of my car until I turned up at my vrt appointment scary!!!!

So I have done some reading from the revenue site on how to value your car that does not come up on the calculator

What I found does not make sense
8.3.4 Establish the Age
This is a simple process of calculating the number of years from the date of first registration to
the date the vehicle is presented for registration and then determining the actual month of
registration in the State. In order to refine further the valuation process, a supplementary
adjustment is made depending on the month of registration in accordance with the following
table:
Revenue Operational Manual VRT Section 8
Page 8 of 24
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
+5% +4% +3% +2% +1% 0 0 -1% -2% -3% -4% -5%
The supplementary adjustments apply to vehicles aged between 1 year (change of calendar
year) and 119 months old, based on the month the vehicle is registered in the State. For year
one (change of calendar year) only the supplementary adjustments from July through to
December apply.

Example page12
Activity Value €
Step 1 Has verified an OMSP of 20,000 20,000
Step 2 Has assigned depreciation table Appendix 1 A1
Step 3 Has established an extras package of 1,000 but
this is depreciated by 55% (refer to para. 8.3.3
above)
450
Step 4 Adjusted OMSP of the vehicle 20,450

(((*****Step 5 Has established that the vehicle is 3 years old,
and in conjunction with Step 2 that the vehicle
has depreciated to €14,519. It should be noted
here that if the vehicle was registered in March
a supplementary adjustment of +3% would be
included increasing the OMSP to €14,954 but
if the vehicle was registered in October the
supplementary adjustment of –3% would
decrease the OMSP to €14,083*****))))
14,519

Step 6 Has calculated a reduction of 5% for “Fair”
condition
725
Step 7 Has imposed a reduction for excess kilometres
72,000-52,500 (1500 x 35 months) = 19,500
Excess Allowance (refer to para. 8.3.6 above)
(10x €70)+(2 x 60) (first 16000 excess €70,
3500 = 2 x €60)
820
Total for VRT 12,974
VRT due @ 27% 3,502

So if I am reading this correctly say my cars value is €10000 OMSP, in Dec its value get -5% to €9500 if I wait until Jan it get +5% to €10500. Please can some body please tell me I am reading this all wrong. If you play around on the vrt calculator on the breakdown on the top right you can the the monthly adjustment I am talking about which at the moment will say 95% as we are in December if you add a car more than one year old. If I wait until Jan with this change to 105%??

PLEASE HELP

artheb

It's a good question. However +5 adjustment should be calculated from the OMSP car value which is extra 1 year older. What is the depreciation for additional year?

riggles2

artheb wrote: »

It's a good question. However +5 adjustment should be calculated from the OMSP car value which is extra 1 year older. What is the depreciation for additional year?

Not sure what deprecation group the car will full into as its not on the VRT calculator but think it should be either A1 or D1 the car was first registered on the 22.06.15 so does this mean the deprecation will not increase until 22.06.17 from 2 years to 3? so the monthly adjustment will mean that I will pay more in Jan than in December??

lifer_sean

From watching VRT values over the last several years, Revenue seem to adjust the OMSP at the start of every month. Usually they go down, but sometimes they go up. For example, I registered a car yesterday, and it cost approx. 10% more to clear than the quote I got at end of November (from what I remember).

I'd expect a drop in VRT on most cars in January, but not a full years depreciation, as it gets chipped away every month, all year.

Watch the 30 day rule. If you go outside the 30 days, you could get hit with penalties that could be greater than the saving. I don't know if they extend the 30 days to allow for the Christmas closure ... I suspect they don't.

artheb

lifer_sean wrote: »

From watching VRT values over the last several years, Revenue seem to adjust the OMSP at the start of every month. Usually they go down, but sometimes they go up. For example, I registered a car yesterday, and it cost approx. 10% more to clear than the quote I got at end of November (from what I remember).

I'd expect a drop in VRT on most cars in January, but not a full years depreciation, as it gets chipped away every month, all year.

Watch the 30 day rule. If you go outside the 30 days, you could get hit with penalties that could be greater than the saving. I don't know if they extend the 30 days to allow for the Christmas closure ... I suspect they don't.

What was the increase based on? Higher omsp or some other factor like car extras, etc? I have finally booked my VRT for December. However I've heard that extras like folding head rest can increase VRT.

lifer_sean

artheb wrote: »

What was the increase based on? Higher omsp or some other factor like car extras, etc? I have finally booked my VRT for December. However I've heard that extras like folding head rest can increase VRT.

Different OMSP. What I paid was exactly what the online calculator says during December. I find the online calculator very accurate. I don't remember ever having to pay an amount different to what the online calculator said (when I put in the correct data).

AFAIK they only charge on extras up to 4 years old, and generally they only check for extras on the "premium" brands. But if "folding head rests" were an optional extra, and the car was a 2013 or newer Audi/BMW/Merc etc, then you could expect to be charged. They use the VIN ("chassis number") to determine exactly what extras were fitted.

bazz26

Factory fitted extras are only taken into account on cars upto 4 years old. So if your car is 2 years old they calculated the VRT percentage on 50% of the original cost of those factory extras.

So taking easy figures, if your 2 year old car falls into the VRT bracket of 25% for example, and your car has leather seats that cost 2k extra when new, then the VRT will be based on 25% of 1k (2k @ 50%). So they add €250 to your overall VRT figure for the leather seats. Again these are rounded figures only.

artheb

Just to give you an update. I have paid VRT in December and just checked today's valuation on ROS calculator. VRT has dropped by 115 euro on the 1st of January. So I guess I could wait but I did not...

lifer_sean

Your 115 euro reduction is typical.

I priced 40+ cars last week, doing some research. A range of cars, 2008 to 2015. All examples are showing lower VRT today than yesterday. Average reduction was 120 euro, averaging 6.6% of the VRT amount. The lowest reduction was for a 2014 Golf (down 8 euro only). Largest reduction was for a 2012 Passat CC, down 326 (from 3162 to 2836 - still a lot).

Posting this in case it is of some use to someone in future years.

Cee-Jay-Cee

The VRT on my car (which I have booked in to VRT office) dropped €289 on January 1st.

jsd1004

Cee-Jay-Cee wrote: »

The VRT on my car (which I have booked in to VRT office) dropped €289 on January 1st.

Usually means your car has depreciated a lot too. I find their OMSP to be very accurate if you want to value any car.

dbagman

As far as I'm aware, and going on what your quoted piece says would back it up, it goes on when the car was first registered, not calendar years. So a car registered in March 2016 isn't a year old till March 2017, not in January. Unless the date the car was first registered is approaching there's no use in waiting it out risking getting stopped.

Cee-Jay-Cee

jsd1004 wrote: »

Usually means your car has depreciated a lot too. I find their OMSP to be very accurate if you want to value any car.

Yeah true but I plan on keeping it for 4 or 5 years so depreciation doesn't worry me...the more the better in fact!!

Soarer

Buddy went in to VRT his car December 23rd. Their machine was broken so couldn't take his card. They said to come back in January with a bank draft for €X.

He did what he was told, and when he went in yesterday, they wouldn't take the draft off him as the VRT had dropped €224!

He had to get a new draft today for the new lower amount, and paid his dues.

Dems de breaks.

Cee-Jay-Cee

Soarer wrote: »

Buddy went in to VRT his car December 23rd. Their machine was broken so couldn't take his card. They said to come back in January with a bank draft for €X.

He did what he was told, and when he went in yesterday, they wouldn't take the draft off him as the VRT had dropped €224!

He had to get a new draft today for the new lower amount, and paid his dues.

Dems de breaks.

He should complain and get the cost of the first draft back again :cool:

Benbecul97

Great thread!

Anyone got a link to the VRT calculator? Thanks.

UnknownSpecies

https://www.ros.ie/evrt-enquiry/vrtenquiry/vehicle.html?execution=e1s1

Marcusm

Benbecul97 wrote: »

Great thread!

Anyone got a link to the VRT calculator? Thanks.

Just click this link; it’ll get you to the right spot.

http://lmgtfy.com/?q=VRT+calculator