Could you please help me understand the distinction between VRT and the annual 'motor tax' in the Republic of Ireland? I'm asking from the UK and I'm trying to understand the system.
Filed under taxation - Asked by Alina McGregor (Exeter) - Fri, 10 Jul 2020 11:29
It’s actually a pretty easy distinction. Motor tax is the Irish equivalent of the UK’s Road Fund Licence. It’s paid annually, and is based on the CO2 emissions of the vehicle. The cheapest rate is for cars that emit no CO2 (i.e. electric cars), which cost €120 a year to tax, while the most expensive rate is for cars emitting more than 225g/km of CO2, which is €2,350 a year.