VAT on UK import

iognaid

My question is very precise but a great deal depends on it.
Ive brought in a car from uk wih date if 1st,registration August 21st. It has 7000 miles on clock, 12000 km.
I had vrt inspection yesterday, 22nd February, just 6 months old
will vat be applicable.
The girl didnt mention this but said it has to be sent to higher authority, explaining that this is new practice on hagh value cars.
Will I have a problem?
All comments and past experiences welcome
Thanks

bazz26

If the car is at least 6 months old (they go off the date of original registration) and/or has at least 6000 km on the clock then VAT shouldn't be chargeable.

NCT folks sending a query off to Revenue for a VRT figure is common enough if the car they are inspecting doesn't have a STAT code on the VRT system. It doesn't automatically mean that VAT is being charged.

Stovie

Not sure about this one given the close date. My wife got caught for VAT because the car had only 800 miles but was more than 6 months old. When did you buy this car. I am not sure if it the date of purchase or date of inspection that determines whether VAT is due.

moby2101

It is date of inspection 100%

I brought my car in at 4500km and just over 6 months old. I clocked up over 1500 km in the weeks leading up to my VRT appointment to have the necessary 6000 to be VAT exempt

Stovie

It is the date of inspection for miles no question but this is not the issue here since the car has over 6000 km done. The issue here is age and I believe it may be the date of purchase and not the date of inspection that is relevant for age. One cannot get an appointment with VRT straight
away, it normally takes a week. This means that the car was purchased before it was 6 months old and the invoice and VRT inspection application date will reflect this.

bazz26

When it comes to VAT liability, the 6 month age is calculated from the date of original registration, not the date on the invoice or the date you brought it into the country.

newmember2

bazz26 wrote: »

If the car is at least 6 months old (they go off the date of original registration) and/or has at least 6000 km on the clock then VAT shouldn't be chargeable...

if your car has less than 6000 km or is less than six months old then you're VAT liable - it only has to be one of them to be liable for VAT.

For the OP - you had the inspection yesterday, but what was the date of importation?

drunkmonkey

You can't buy a car in the UK vat free and import it without paying Vat here.

Phileas Frog

drunkmonkey wrote: »

You can't buy a car in the UK vat free and import it without paying Vat here.

There was a thread here recently where the opposite was proven

grogi

drunkmonkey wrote: »

You can't buy a car in the UK vat free and import it without paying Vat here.

You shouldn't be able to. But sometimes the Irish system is too loose and you'd get through.

mulbot

drunkmonkey wrote: »

You can't buy a car in the UK vat free and import it without paying Vat here.

Yes you can. As mentioned above,if it's older than 6 months or has more than 6000k,VAT isn't charged.

mickdw

mulbot wrote: »

Yes you can. As mentioned above,if it's older than 6 months or has more than 6000k,VAT isn't charged.

If you take out of UK vat free, it is expected you pay vat at destination Country. The only way you then avoid paying vat here is to clock up mileage./ take it over 6 months and most likely fraudulently claim in it was bought in NI the day before presenting it here as otherwise the UK purchase invoice and travel dates will result in vat being owed.
It's not worth trying as it could very well come back to bite you.

mulbot

mickdw wrote: »

If you take out of UK vat free, it is expected you pay vat at destination Country. The only way you then avoid paying vat here is to clock up mileage./ take it over 6 months and most likely fraudulently claim in it was bought in NI the day before presenting it here as otherwise the UK purchase invoice and travel dates will result in vat being owed.
It's not worth trying as it could very well come back to bite you.

That's exactly what I wrote-once it's over 6 months old/has more than 6000K you don't pay VAT here

Stovie

bazz26 wrote: »

When it comes to VAT liability, the 6 month age is calculated from the date of original registration, not the date on the invoice or the date you brought it into the country.

If the six month period begins from the date of original registration, then where does it end.?

Stovie

Here is what the Revenue manual says:

1.5.3 Purchase Invoices
It should be noted that in calculating the length of time since first registration in another MS,
the critical date is the date on which the vehicle was supplied in the other MS, i.e. the date
of the purchase invoice.
Delaying registration in the State until six months or more after entry into service does not
remove the liability to VAT. It is the date of supply and not the date of declaration that
determines liability to VAT and, where possible, customers should be advised accordingly.

drunkmonkey

That's if your in the motor trade and the car is to be held in stock for resale. It is not referring to ordinary people without vat numbers going to the UK and exporting a car to Ireland vat free.

Phileas Frog

mulbot wrote: »

That's exactly what I wrote-once it's over 6 months old/has more than 6000K you don't pay VAT here

The issue is the non payment of VAT in the UK

mulbot

Any private citizen can import a car from UK,once that car is older than 6 months from first registration date,and has more than 6000 you are exempt from VAT in Ireland .

drunkmonkey

mulbot wrote: »

Any private citizen can import a car from UK,once that car is older than 6 months from first registration date,and has more than 6000 you are exempt from VAT in Ireland .

Yes like every other good you import but your are not exempt if the vat has not been paid or claimed back in the UK. It's cheaper pay the UK vat than Irish vat.
If your bring in a car without paying Vat and don't pay it here the revenue will come down on you like a ton of bricks.
The Vat is due somewhere whether that be the UK or Ireland. There are no vat free cars.

Phileas Frog

mulbot wrote: »

Any private citizen can import a car from UK,once that car is older than 6 months from first registration date,and has more than 6000 you are exempt from VAT in Ireland .

You are misunderstanding the issue here.

mulbot

drunkmonkey wrote: »

Yes like every other good you import but your are not exempt if the vat has not been paid or claimed back in the UK. It's cheaper pay the UK vat than Irish vat.
If your bring in a car without paying Vat and don't pay it here the revenue will come down on you like a ton of bricks.
The Vat is due somewhere whether that be the UK or Ireland. There are no vat free cars.

I was referring to paying VAT only in Ireland.All UK VAT should be accounted for before leaving the UK.

drunkmonkey

mulbot wrote: »

I was referring to paying VAT only in Ireland.

Why would you do that you'd pay 3% extra for your car.

drunkmonkey

mulbot wrote: »

I was referring to paying VAT only in Ireland.All UK VAT should be accounted for before leaving the UK.

Yes you don't pay any vat on goods from Europe as a consumer the vat has already been paid, that applies to everything from sliced cheers to cars.
Exporting to Ireland without paying Vat in the origin country is daft as we have one or the highest vat rates
Now if your a consumer you can never buy without vat. You need a vat number.

mulbot

drunkmonkey wrote: »

Yes you don't pay any vat on goods from Europe as a consumer the vat has already been paid, that applies to everything from sliced cheers to cars.
Exporting to Ireland without paying Vat in the origin country is daft as we have one or the highest vat rates
Now if your a consumer you can never buy without vat. You need a vat number.

Exactly-if the UK VAT has been paid,you can import to Ireland,without paying VAT here once the car meets the 6 month\6000 km criteria.

drunkmonkey

mulbot wrote: »

Exactly-if the UK VAT has been paid,you can import to Ireland,without paying VAT here once the car meets the 6 month\6000 km criteria.

Exactly. The Vat has already been paid. No vat liability in Ireland.

mickdw

Mulbot, you are confusing the thread. It's a given that all being legit, car purchased more than 6 months old etc does not require vat paying here.
The op however queried the situation where they presented a car for inspection 1 day after the 6 month cut off. This would suggest it was supplied at less than 6 months and for that reason it could have left UK with vat paid or vat free in certain circumstances.
The thread is in relation that transaction and whether vat is due here.
It's not just as simple as saying no vat due in this case.

Stovie

drunkmonkey wrote: »

That's if your in the motor trade and the car is to be held in stock for resale. It is not referring to ordinary people without vat numbers going to the UK and exporting a car to Ireland vat free.

It makes no distinction if you are registered or not. Also note that a lot of cars sold in UK do not have VAT charged as they are sold under the Margin Scheme.

In order to avoid VAT on import you need to meet both requirements of greater than 6 months old and greater than 6000 km.

Stovie

drunkmonkey wrote: »

Exactly. The Vat has already been paid. No vat liability in Ireland.

Deal with the OP's case. She meets the requirement on mileage but does she meet the requirement on vehicle age?. She needs to meet both to avod paying VAT.

drunkmonkey

Stovie wrote: »

Deal with the OP's case. She meets the requirement on mileage but does she meet the requirement on vehicle age?. She needs to meet both to avod paying VAT.

There is no avoiding vat on any used car. If you avoid the UK vat it's due in Ireland. You have to be in the motor trade to defer the vat but it's still due when you sell it.
I'll say it again no consumer can buy a car vat free in another country and not pay vat here also. It doesn't matter when the car was registered or milage the vat is due somewhere.
If you need clarification contact the revenue if you have any doubts about what I'm saying.

drunkmonkey

drunkmonkey wrote: »

Yes like every other good you import but your are not exempt if the vat has not been paid or claimed back in the UK. It's cheaper pay the UK vat than Irish vat.
If your bring in a car without paying Vat and don't pay it here the revenue will come down on you like a ton of bricks.
The Vat is due somewhere whether that be the UK or Ireland. There are no vat free cars.

This was discussed in the previous thread, revenue will never come looking in the scenario where you buy vat free in the UK and then rack up the miles before registering here. So they can’t really come down on you like a tonne of bricks.

At least one if not two people on that thread had successfully avoided paying vat in this way, look up the other thread if you don’t believe it here.

mulbot

mickdw wrote: »

Mulbot, you are confusing the thread. It's a given that all being legit, car purchased more than 6 months old etc does not require vat paying here.
The op however queried the situation where they presented a car for inspection 1 day after the 6 month cut off. This would suggest it was supplied at less than 6 months and for that reason it could have left UK with vat paid or vat free in certain circumstances.
The thread is in relation that transaction and whether vat is due here.
It's not just as simple as saying no vat due in this case.

OK, I misread the original post, I see that they might have brought it in before the 6 month mark.