Expert answer

Hi Gerard,

On importation, you will not have to pay VRT as the Kona is all-electric and within the top limit for a full VRT rebate.

We can't determine the car's customs status for you, however, which determines whether or not you'll pay VAT and import duty. To avoid that, you'll need to ensure the car was actually imported into the North and used there for a “reasonable amount of time” (Revenue's words) before being sold on for export.

Put more simply, if the dealer brought the car into the North from England, Scotland or Wales just to sell on, it's highly likely that you will be stung for VAT and duty.

Expert answer

Hi Derek,

We can only give you another estimate, I'm afraid, as there's no way to know what Revenue will actually value it at when it comes to its inspection.

There's a similar car on sale on Carzone as I write listed at about €37,000. Taking that as the OMSP (Open Market Selling Price) and the CO₂ output putting it into Band 18 for VRT (156-170g/km) at 30 per cent of the OMSP, then the VRT bill would in theory be €11,100.

That's before the NOx levy, though it's only a few hundred Euro on a modern petrol car such as that.

Adjust what you think Revenue will value the car at (the OMSP) to see what effect it has on the VRT calculation, but I agree with you that €3,500-4,500 seems low and you should be prepared for more.

Expert answer

Hi Stephen,

This car will be in the top band for VRT due to its high CO₂ emissions, so 41 per cent of the OMSP.

Now, as you probably know, this Open Market Selling Price is what Revenue believes the car to be worth after registration in Ireland, and it's very difficult to predict that value for a niche model such as the Honda.

If you take the top level of the price band as €18,000, then VRT would be €7,380.

Expert answer

Hi Terence,

I'm assuming you and the car are not in Ireland. If so, then I'm afraid VRT is still payable on importation into Ireland regardless of the fact that the car is a gift.

It is paid on what Revenue calls the Open Market Selling Price (OMSP), which is the value Revenue believes the car to be worth following registration.

Expert answer

Hi Michael,

Given what you said, we'd assume that there is no import duty or VAT in that price, just VRT and the NOx levy.

VRT is based on the CO₂ emissions band and the so-called Open Market Selling Price (OMSP). The latter is not the price paid for the car, but the value Revenue believes it to be worth after importation in Ireland.

And while the CO₂ emissions rating might be 187g/km, that is likely to be the old NEDC rating. Revenue 'uplifts' that to be comparable to the newer WLTP standard, which would put this Cayenne into the top band for VRT, at 41 per cent of the OMSP.

It's not easy to estimate what Revenue might say the OMSP is, as that's a rare car in that specification, but for example, if it said it's worth €30,000 in Ireland, then the VRT alone would be €12,300.

On top of that is the NOx levy, which can be really expensive for big old diesels. We'd estimate that could be just under €3,000 for the Cayenne S Diesel.

Unfortunately, therefore, the price you've been quoted to bring this car into Ireland isn't at all surprising.

Expert answer

Hi Bryan,

Ask the dealer for a copy of the customs declaration covering the vehicle's movement from Great Britain into Northern Ireland (showing the VIN), or a T2L document.

That is the documentation Revenue is referring to when it mentions the Windsor Framework requirements.

Expert answer

Hi Jason,

First up, whether a used car coming from Northern Ireland is subject to VAT or not is purely to do with its customs status, not its value. If this BMW was registered new in NI, or was imported there from England, Scotland or Wales and then used by someone there (as opposed to being imported by someone to sell on), then no VAT would be payable on importing south of the border - regardless of its value.

You would need to be able to prove its status. If it was registered new in the North, then that will be easy to do of course.

Now for VRT. There is VRT relief for electric cars , but that only applies if their Open Market Selling Price (OMSP) is below €50,000. For cars worth more than that there is no VRT rebate and you'd have to pay VRT according to Band 1 for cars emitting 0-50g/km. That's currently 7% of the OMSP.

In case you're not familiar with it, the OMSP is the value Revenue believes the car to be worth after it's registered in Ireland. It's not related to the price you've actually paid for the car.

A quick check of the classifieds reveals that 2022 BMW iXs are listed in Ireland for between €44,000 and €60,000. If the model you're looking at is deemed to have an OMSP of less than €50,000, then you will get a bit of VRT relief, but nothing substantial.

For your information, if Revenue places an OMSP of €60,000 on the iX, VRT of €4,200 would be payable.

Expert answer

Hi Tomas,

Revenue's website is only ever a guide in any case, so you should always do your own calculations, so you have an estimate. We can help with that but be aware that all figures below are only estimates.

First up, we're assuming you mean “GB” – i.e. England, Scotland and Wales – as opposed to “UK”, as the latter would include Northern Ireland as well. If the van is coming from Northern Ireland, the treatment of import duty and VAT is different.

Coming from GB, however, you will have to pay 10 per cent import duty and 23 per cent VAT.

The duty is calculated on the “customs value”, which is the price paid, transport and insurance together. If the van is £13,000, that's about €15,000, so the import duty would be a minimum of €1,500 before any allocation for transport or insurance.

VAT is charged on the sum of the import duty and the customs value. So if import duty is €1,500 in this case, and the customs value is €15,000, that's a total of €16,500. VAT is 23 per cent of that, at €3,795.

Unfortunately, regardless of where you are importing the van from, Revenue will treat a six-seat crew cab van as Category A for VRT, which means you'll have to pay the NOx levy (could be as high as €4,850 for a 2019 Trafic) and VRT based on its CO₂ emissions.

You'll need to get the official figures for this van, but if say the CO₂ emissions rating is 171-190g/km, then it's in Band 19 for VRT, at 35 per cent of the so-called OMSP.

That's the Open Market Selling Price, a value Revenue believes the van to be worth after registration in Ireland. It's not easy to guess. If it's €20,000, then the VRT would be 35 per cent of that, or €7,000.

This is all looking very costly, I'm sure you agree.

Expert answer

Hi Jamie,

VRT is determined by the CO₂ rating and something called the Open Market Selling Price (OMSP). The latter is the value Revenue believes the car to be worth after it is registered in Ireland. That's not an easy thing to guess when it's a rare model such as the CLA 45, but for the sake of our calculations let's assume it's €35,000.

Now, that car had a CO₂ rating of 161g/km in 2014, but on importation that will be “uplifted” by Revenue to an equivalent WLTP value. That brings it up to 183g/km, meaning the car sits in VRT Band 19, at 35 per cent.

Hence, if those numbers are right (and these are only estimates), the VRT bill would be 35 per cent of €35,000, or €12,250.

Don't forget the NOx levy, VAT and import duty as well.

Expert answer

Hi John,

Not all cars are on the Revenue VRT website, unfortunately, so you may have to estimate the car's value in Ireland (i.e. what it might sell for here after importation). Revenue calls that the Open Market Selling Price (OMSP) and it bases its VRT calculations on that and the VRT band the car sits in due to its official CO₂ emissions rating.

On top of that, you will have to pay import duty and VAT and the NOx levy.

I suggest you have a read of these guides, as the same applies to cars coming from Japan:

How Much VRT is Paid in Ireland?
Motor Road Tax Prices in Ireland Explained
Guide To Importing Cars From The UK

And this: Guide to buying Japanese imports