Expert answer

Hi Terence,

It's not entirely clear as yet, as Audi has not published its new pricing, and doesn't appear to have changed its online pricing since the VAT reduction last month. 

Taking the Audi A6 40 TDI S line S tronic as an example: it's listed as €56,065 as of Jan 2020.

The NOx figure for that car is 41.9mg/km, so the NOx levy right now, within that price, is €5 x 41.9 = €209.

So, the price of the car including VAT and VRT, but without the NOx levy is €55,855.

Looking at our review of the Audi A6 40 TDI from 2018, the NEDC CO₂ rating appears to be 117g/km, which would mean 17 per cent VRT on the old system.

So, the VRT was €55,855 x 0.17 = €9,495, which makes the price of the car including VAT at €46,360.

Assuming that's at the 23 per cent VAT rate, it's €37,691 before VAT, or €45,606 at the current 21 per cent VAT rate.

So now we have the core cost of the car and can work on a 2021 price estimate.

We need the WLTP CO₂ rating. It varies according to equipment, so let's take the worst case of 158g/km. That places it in the new Band 18 for VRT (see our How Much VRT is Paid in Ireland? feature), at a rate of 26 per cent.

So the estimated cost of the car including VAT and VRT is €45,606 ÷ 0.74 = €61,630

The NOx levy calculation has changed a little as well. It works out as €238 for this car.

Hence, the estimated total retail cost of the car is €61,868 as of 2021.

With a CO₂ rating of 158g/km as used in these calculations, the annual motor tax (see our Motor Road Tax Prices in Ireland Explained feature) will be €280.

If I used the minimum CO₂ rating for this model of 145g/km, incidentally, the retail cost comes out as €56,891 so the final price is highly sensitive to that, while the motor tax would drop just €10 per year to €270.

Disclaimer: All of these figures should be taken as estimates only. We have rounded off to Euros throughout and who knows how Audi will adjust its pricing to suit the market rather than just calculate the new tax?

Expert answer

Hi Thomas, 

It certainly will.

The NOx levy calculation has been tweaked slightly, as detailed in our How Much VRT is Paid in Ireland? feature, with the €15 per mg rate starting earlier on.

The changes to the VRT bands will also likely have an effect, but the largest change is the 'uplifting' of the CO₂ rating to WLTP-equivalent values.

For a petrol car, the new CO₂ rating = (old NEDC rating x 0.9227) + 34.554g/km

For a diesel car, the new CO₂ rating = (old NEDC rating x 1.1405) + 12.858g/km

This will significantly raise the CO₂ rating, putting the imported cars into a higher VRT band, with likely much higher costs.

We did such a calculation for another reader here if you're interested: Should I register my imported Mercedes now?

Expert answer

Hi Joe,

I'm afraid Revenue is quite clear on this: "The VRT relieved becomes payable in full if you sell or dispose of the vehicle within 12 months following registration."

Expert answer

Hi Paul,

First up, we believe that the SEAI grant is not changing for 2021.

The €5,000 VRT rebate should still be in place for the Corsa-e, as the government announced that it would be 'tapered' for EVs with an OMSP (Open Market Selling Price) of over €40,000 - up to zero rebate for EVs with an OMSP of €50,000 or more.

Hence, it won't matter if you buy the Corsa-e now or in the New Year.

Expert answer

Hi Bill,

No, we don't think it will. That has yet to be confirmed, but it looks like the dropping of the VRT rebate will not be offset by the reduction in VRT rate (from 14.0 to 7.0 per cent), so it could be a few grand more expensive.

Expert answer

Hi Maeve,

Assuming your car is taxed according to its engine size, then there will be no changes to its taxation from January 2021. If it's taxed according to its CO₂ emissions, it's possible that there will be a small increase, but nothing drastic. We don't have the full details of the new motor tax scheme as yet.

Expert answer

Hi Kevin,

According to the Revenue website, it does only refer to TOR applications in the singular (one vehicle) sense. It does not explicitly state that you can or cannot do this for multiple vehicles; however, my understanding is that it is a one-off thing. That said, with the age of the bike, the VRT should only amount to €185 to register it here in Ireland. Generally, trikes such as the Goldwing are registered as motorcycles. 

Expert answer

Hi Arunas,

We're written a guide called Guide to importing cars from the UK to help people like you. You'll need to scroll down through half of it as you already have the car bought, but once you've read that, if you still have questions, feel free to come ask us for more assistance.

Expert answer

Hi Robert,

Getting insurance will probably be slightly tricky just because there aren’t many Jimnys on the ground here, so it’s not a well-known model for Irish insurers from an actuarial point of view. Then again, it’s no GTI so it shouldn’t be too bad. As for road legality, it’s fine — the Jimny was homologated for Europe, so it’s perfectly legal here.

Expert answer

Hi Robert,

You should discuss this in more depth with a qualified accountant, but our understanding is that you cannot claim back the cost of buying your private car through the business. If the car is owned by the business and used exclusively for business use, that is a very different scenario, but it doesn't sound to me as if that's the case. If you go ahead with a private purchase of a car and the business is paying back the loan for you then we believe it would be seen as income and taxed accordingly. 

However, as you can claim back all business-related expenses, you should keep a record of all motoring expenses, such as fuel, tax, insurance, repairs, etc. as you may be able to claim back a large portion of the costs if you use the car for business a large portion of the time. 

As I said, it's best you talk this through with your accountant.