Will Ireland push the EU to scrap VAT on car imports from the UK

creedp

https://www.boards.ie/discussion/comment/120211295#Comment_120211295

I wouldn't call it a dealer cartel as they didn't introduce Brexit, but certainly Brexit has resulted in a reduction in competition for the used car market

se25

Have imported 10 cars or so over the last 25 years from the UK.. still a few bob savings IMO. Looking at 2016 BMW 2 Series Coupe..here are circa: Euro 21k+, in UK £10k. £10K = Euro 11k + 33% taxes 14500 euro with 3500 VRT + nox+ 350 expenses = 18,500 a saving of 1500 or so. I rounded up a bit but could be even 2 grand cheaper..Better specked, nicer colour options, lower mileages with lots of history..am I missing out on something here..appreciate the hassle involved but 2 grand not to be sniffed at.

Thanks..

Capt'n Midnight

https://www.bbc.com/news/business-58993851

Research by the motoring group suggests the price of the UK's most popular cars have increased up to 57% since 2019.

Until the UK get behind the Northern Ireland Protocol properly the EU won't let them benefit from the Horizon Program worth nearly €100 billion. So I can't see then bending over backwards on this.

User1998

https://www.boards.ie/discussion/comment/120230252#Comment_120230252

The taxes equate to 35.3%, and they are calculated on the car + freight. So unless your driving the car home yourself it would be €11k for the car + €500 freight + €4,050 import tax. Even if you got the ferry back it would still only be €350 or so less. Then you have your customs broker fees, tax, nct etc. That’s another €300 or so.

I’m sure you’d get one from a private seller here for around €18k. Just a waiting game really since none are for sale right now.

morgan2009

Any update on this please thanks

Jim_Hodge

https://www.boards.ie/discussion/comment/122051818#Comment_122051818

What's to update? Ain't gonna 'appin.

goochy

not in governments interest to encourage used imports - simi will lobby them to protect main dealers here

mac167

I don't mind VAT, it makes sense, 23%, fine, I would have to pay that too if I'm buying some stuff from Amazon UK. VRT? Now that's the one we should advocate to remove / reduce, or at least make it make sense with the nonsense OMSP calculation.

User1998

https://www.boards.ie/discussion/comment/122052811#Comment_122052811

If OMSP’s were correct VRT would be in some cases more than twice as high as it already is. I regularly VRT cars that have an OMSP of say €5,000 but in reality they are worth more than twice that. There are very few cars with overinflated OMSP’s.

morgan2009

I was looking at a car in the North at £17 but it was a uk car last year so the vat an vrt is a bit to much I had heard it was maybe gonna be scrapped truth behind this

L1011

https://www.boards.ie/discussion/comment/122053224#Comment_122053224

It isn't.

User1998

https://www.boards.ie/discussion/comment/122053270#Comment_122053270

Wrong. Its changing next month

https://www.revenue.ie/en/vrt/registration-of-imported-used-vehicles/vehicles-imported-from-gb-routed-through-ni.aspx

L1011

https://www.boards.ie/discussion/comment/122053549#Comment_122053549

You misread that page.

There was a change for dealers last May and a transitionary period for now very old stock expires next month. It allows the NI dealer to reclaim the UK VAT. It doesn't apply to private sale.

There are no further proposed changes.

User1998

https://www.boards.ie/discussion/comment/122053561#Comment_122053561

Section 7:

“Vehicles purchased after 30 April 2024 can be registered in the State without being subject to these additional requirements. These vehicles will still require proof of Customs Declaration or proof that the vehicle has been in private ownership in NI for a reasonable period of time.”

These are the changes that are effective from next month and apply to the scenario outlined in the post you replied to.

L1011

https://www.boards.ie/discussion/comment/122053580#Comment_122053580

There is no such text on that page when viewed on either my laptop or phone.

Searching for the text via Google finds it in Section 6.

You still need proof the vehicle was in use in NI for a "reasonable period". Effectively it still stops recent GB imports from escaping VAT; so nothing has actually changed for private purchasers.

mikeecho

Short answer is

The government isn't going to push for any tax reductions.

The only tax reductions would be by way of mandated EU reduction, and by which the Irish government would simple rename and recaulate the same tax via other means.

Just like in 1993 when Vehicle Excise Duty was abolished.

User1998

https://www.boards.ie/discussion/comment/122053622#Comment_122053622

I know the links brings you to section 6. All you have to do is click Section 7 on the Revenue website, right below section 6.

How can you say that nothing is changing? Right now, if a private buyer wants to purchase a car that was brought into Northern Ireland from the UK after Brexit, no matter what the circumstance, they will have to pay VAT and customs to register the car here.

From next month, a private buyer can purchase a car that was brought into Northern Ireland after Brexit and will not have to pay VAT and customs to register it here, as long as its been in private ownership in NI for a ‘reasonable period of time’, presumably a few months at least.

Explain how that is not a significant change for private buyers here? It means that pretty much any car that was brought from the UK to NI over the past 4 years will be able to be registered here free of VAT and customs.

L1011

https://www.boards.ie/discussion/comment/122053759#Comment_122053759

The text is in S6, your link went to S7. Irrelevant now anyway.

The change happened in May 2023, the paperwork requirement is going away in May 2024. A car that has only briefly been in NI will remain liable for customs and VAT, which is what the thread bouncer was asking about