VRT open market selling price for car that needs work

Irish Steve

OK, so the OMSP is the notional value placed on a vehicle by Revenue, based on their assessment of the expected price, arrived at by whatever means they use.

So, my question relates to the process when presenting a vehicle that needs work to be carried out in order to be sold.

Is the process that a list of the work required, with estimated costs has to be presented, or how do others deal with this aspect of arriving at an acceptable and agreed value for VRT purposes. The OMSP for the vehicle in good order is probably somewhere between 8500 and 11000, but this vehicle will be lower, due to the mileage on it, and the work needed before it can pass an NCT.

The vehicle in question has come from the UK, right now it can't be VRT processed as it can't be moved under it's own power, it needs work for that to be possible.

Once that's been done, it will still need work to bring it up to an "acceptable" standard, and I guess I'm looking for the best way to present that information to the relevant processing people in order to arrive at a sensible OMSP for valuation purposes.

There will be some bodywork repairs to be carried out, and some parts to replace before it can be presented for an NCT, but as I see it, that work should be postponed until the VRT processing has been done, and effectively, the work needed means that the actual OMSP at the time of presentation will be less than figure that's on line.

So, anyone with experience of dealing with this?

Thanks

copacetic

It’s actually pretty simple to work out. There is a specific calculation for the extra mileage with a reduction rate versus the average mileage from the vrt calculation handbook you can google. If you put the correct mileage in you will see a ‘mileage reduction’ in the Omsp calculation.

So if you’ve put in the correct mileage you already have the mileage included in their calculation.

They only have good, fair and poor as categories. If car isn’t running it can’t be vrt’d

Vehicles assigned “Poor” condition will show significant evidence of wear and tear, e.g. body/panel damage, major mechanical failure/damage, severe/extensive rust. However, where assignment of a vehicle condition of “Poor” is being considered the vehicle must still be capable of being mechanically propelled to fall within the definition of a “mechanically propelled vehicle” for VRT purposes.
By a process of elimination, a vehicle not assigned a “Good” or “Poor” condition is assigned a condition of “Fair”.

If yours comes us as poor then Omsp is reduced by 10%. Fair it’s 5%.
It’s all in the handbook.

https://www.revenue.ie/en/tax-professionals/tdm/vehicle-registration-tax/vrt-manual-section-08.pdf

You’ll probably feel that’s not enough reduction, but all you can do then is appeal. The guys don’t have leeway for anything above checking the mileage and classing the car as good, fair or poor.

Irish Steve

That's what I was wondering, it's for sure at best fair, poor is will depend on the person on the day I guess, and there are other things that will need to be done, and effectively significantly reduce the OMSP that would be achieved.

It needs at a minimum some bodywork repairs to both cills, the rear tailgate and the front bumper, a new timing belt, new brake discs front and rear, and a few other cosmetic items before it would be classified as "good", and sure of getting a NCT pass. It had a MOT that's valid till June, but I know that the NCT will fail it on the brake discs, as they are on the wear limits, so they will need to be done.

And yes, before anyone asks, the price I got it for reflects the work that's needed, even with the work needed it will still be worth doing.

On a separate issue, will the NCTS centres accept a "new style" driving licence as proof of address? Reason I ask is that having looked at the documentation suggested for proof of address, they state that E-statements are not acceptable, and guess what, every document I get from the "acceptable" list is electronic, there's very little arrives here by post these days for that reason.

eeguy

Thank copacetic for a great reply.

I had the same question. Was thinking of buying a project car from the UK for a few thousand k and putting a few more thousand into it to get it up to scratch.

Seems unfair the overall VRT due includes the appreciation in value due to my own work and my own money. Does anyone know if the appeals process works for situations such as this?

Caliden

Check this topic on the issue: https://www.boards.ie/vbulletin/showthread.php?t=2056266184

Topic is about bring in an Escort RS shell (no running gear, etc.) and getting charged excessive VRT.

I have no clue the outcome but worth reading over.

5500

Just to add I've VRT'D a lot of cars, a couple missing bumpers and interior parts and could never have it marked as poor. Only fair literally once, so it really depends on the person who strolls out to check the car at the centre.

I suppose they are aware people may try make a car look In worse condition than is for a reduction, but In my own case it was genuine damage from both export and transport.

A well written and backed up appeal of the omsp is normally the better choice of action once paid. Keep your receipts ect for all work carried out and it'll be a big help