car imports growing

Jim79

I thought the import market was done for after brexit. But….

"the number of used car imports continues to grow. Up to the end of September this year, there had been a total of 2,605 used imports into Galway – 500 more than in the first nine months of 2023"

Do importers not have to pay VAT aswell as VRT?

https://connachttribune.ie/sales-of-new-cars-down-in-galway-as-imports-jump/?fbclid=IwY2xjawFzxWxleHRuA2FlbQIxMQABHT4MBaKFWe8o3SJWMy5oOLwdrZlwV1HvIEfaqT1SWezehv2z2c7rgH-JrQ_aem_399C31Sb1Ot8bVc-2pYFJA

mickdw

https://www.boards.ie/discussion/2058373588/car-imports-growing

They have to pay vat and duty as well as vrt and nox however a vat registered business will claim back the vat on the purchase and charge vat on the sale which goes to revenue.

The Key is to bring in low vrt and nox cars such as hybrids to keep those import costs down.

A private individual if importing would likely end up paying full retail including vat wherever they bought the car then have to pay vat and duty again here making it a non runner.

colm_mcm

There are loads of German and Japanese branded used cars coming in from Japan, they’re generally in very good condition, and are mostly emission petrol or hybrid models that don’t cost a lot to register.

Mervyn Skidmore

https://www.boards.ie/discussion/comment/122702698#Comment_122702698

I see a lot of Honda Fits, Toyota Vitz, and other Toyota Japanese hybrids for sale. Are parts easy to get for them? Also, I have heard that the history on some Japanese imports can be sketchy and milage altered. I'm in the market for a smallish auto.

Geuze

AFAIK, thanks to the Windsor Framework, individuals can now import NI registered cars from NI without having to pay 10% Customs Duty or VAT.

colm_mcm

https://www.boards.ie/discussion/comment/122702761#Comment_122702761

There’s enough of them here that the demand is there for parts. Worth the internet it’s a lot easier to verify mileage, auction sheets etc nowadays.

User1998

https://www.boards.ie/discussion/comment/122702591#Comment_122702591

You don’t actually have to pay the import VAT if your VAT registered. You just pay the 10% customs and pay sales VAT when you sell the car

mickdw

https://www.boards.ie/discussion/comment/122703060#Comment_122703060

Yes OK but technically the same as paying it and claiming it back although clearly better for cash flow etc not to have to outlay the funds and wait for it back.

Also if bringing in non vat registered uk cars, you have to outlay full cost and apply for a UK government rebate of 1/6 invoice price which is also similar cost wise.

User1998

https://www.boards.ie/discussion/comment/122703432#Comment_122703432

Yeah exactly pretty much the same thing just better for cash flow. UK cars are the same tho you only need to pay the 10% customs and then you just pay sales VAT whenever the car sells. Its the same with VAT qualifying cars, you only get the UK VAT refunded when you prove the car has been properly imported here (customs paid etc)

sprucemoose

https://www.boards.ie/discussion/comment/122703025#Comment_122703025

any idea if thats the case for cars that an equivalent model isnt sold here? the mother is looking at a nissan cube but im a bit wary

User1998

https://www.boards.ie/discussion/comment/122799507#Comment_122799507

I had to replace parts on a Cube before and had no issues. I think they share the same parts as more conventional models. They were sold new in the UK so I presume they were offered here as well.