Why do we still have VRT in Ireland?

Why is VRT still on vehicles in Ireland when the EU told Ireland to scrap it due to unfair price competition within the EU?

Eamon Morrissey (Meath)

Sep 2012 Filed under: VRT

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Expert answer

Hi Eamon,

Why? Because the government can get away with it, that’s why. The EU has repeatedly told the Irish government that VRT is unfair, but then all the government has to do is wave in the general direction of Denmark, which also charges hefty taxes on cars. Basically speaking, at some point, the patience in Brussels will run out and VRT will have to be scrapped. But don’t get your hopes up — no government can afford to give up a €1 billion annual tax take, so VRT will simply be renamed and repackaged in some other form. It’s never going to go away.

Neil Briscoe - Complete Car Advisor
@neilmbriscoe