How much to tax a 2016 Citroen Relay?
Private motor tax on a Citroen Relay (2016)? Want to convert to a campervan but until that's done I will need to make a few trips to the DIY shops in the van.
Emer Garry (Drogheda)Oct 2020 Filed under: taxation
Expert answer
Hi Emer,
A van taxed for private use is done so according to its engine size, so, if the Relay has the 2.0-litre engine, it will cost €710 per annum to tax. If it has the 2.2-litre engine, it'll be €951.
Full details in our Motor Road Tax Prices in Ireland Explained feature.
How much to tax my Fiesta in January?
How much tax will I have to pay on my new Ford Fiesta in January?
Kathleen Flanagan (Co, Offaly )Oct 2020 Filed under: taxation
Expert answer
Hi Kathleen,
You've not told us which engine the car has or whether the car is already registered or not. We'd need to know more to work out its CO2 rating. You should be able to work it out using our Motor Road Tax Prices in Ireland Explained feature.
What tax rate applies to an imported car?
The tax on cars registered after Jan 2021 is €420 per annum for 161-170g/km. So is this the rate that applies if I import a 2016 from the UK in 2021?
Paul McCarthy (Dundalk)Oct 2020 Filed under: importing
Expert answer
Hi Paul,
Yes, that's correct, but you need to watch out for the fact that Revenue will be 'uplifting' the CO2 figures of imports. So, if a 2016 car you're looking at now has CO2 emissions of, say, 165g/km, and it's a diesel, Revenue will uplift that to 201g/km, and that's the number that will determine your VRT and motor tax going forward.
Full details of the uplift formulas etc. can be found in our Guide to Importing Cars from the UK.
Will older cars benefit from 2021 tax changes?
My understanding was that cars registered in the past couple of years had their emissions tested under the new WLTP system. Let's say a car registered in 2019 would be taxed at a higher rate than the exact same make that was registered in 2016. Will the cars registered in 2019 or 2020 benefit from the motor tax changes in the recent budget?
Thanks,
Noel
Noel O'Callaghan (Cork)Oct 2020 Filed under: taxation
Expert answer
Hi Noel,
You're right that cars have been WLTP-tested for a while now, but the WLTP CO2 figure was not in use. Instead, an-NEDC-equivalent value was used and quoted in all official documentation. That was a legal requirement, incidentally, not an attempt by the car makers to mislead.
Cars already registered will not benefit from the tax changes coming in 2021. We've covered this in detail in our Motor Road Tax Prices in Ireland Explained feature.
Motor tax on a 2008 Toyota Auris?
Good evening,
Can I ask what would the motor tax be on a September 08 registered 1.4 petrol car please? It's a Toyota Auris.
Catherine Breen (Wexford)Oct 2020 Filed under: taxation
Expert answer
Hi Catherine,
It will depend on the car's CO2 rating. We believe that is 163g/km. Assuming that this car is already registered in Ireland, then the annual motor tax for that car is €570 up to the end of 2020, and €600 thereafter.
Full details on the Irish motor tax system can be found in our Motor Road Tax Prices in Ireland Explained article.
How to calculate VRT on this 201 Tiguan?
Hi Shane,
I’m completely confused by the new VRT changes! If I was to look at import of a 201 used car, will VRT be calculated off the WLTP figures, or CO2. Also, will motor tax be based off the WLTP or CO2 figures. I ask in the context of a 1.5 TSI DSG Tiguan with these specs: CO2 133g/km, WLTP CO2 168g/km.
Thanks in advance,
Dan
Daniel Shannon (Dublin )Oct 2020 Filed under: VRT
Expert answer
Hi Daniel,
In brief, CO2 emissions used to be measured on the 'NEDC' test, which was found to be inadequate. It was replaced by the new 'WLTP' regime, which still measures CO2 and outputs the rating that will be the only one used going forward.
So, the VRT and motor tax of an import, if it is registered after 1 January 2021, will be based on the WLTP CO2 rating if it exists. If it does not exist, then Revenue 'uplift' the NEDC CO2 rating according to a formula it has devised.
In the case of the 2020 Tiguan you mentioned, the 168g/km figure would be used. That means VRT of 26 per cent and annual motor tax of €420.
I recommend you read our three relevant guides, which have been updated since Budget 2021:
Motor Road Tax Prices in Ireland Explained
Will the VRT on my Mercedes reduce in 2021?
I bought a 2010 Mercedes 350 CDI; will the VRT go down in January as it will be a year older?
Ciara O Reilly (Dublin)Oct 2020 Filed under: VRT
Expert answer
Hi Ciara,
You're right, the value Revenue places on a car does reduce as the car gets older. However, I suspect in your case that that would be offset by the new VRT bands from 1 January 2021. Your car's CO2 figure will be 'uplifted' to a higher equivalent WLTP figure, which is very likely to increase the VRT rate you would pay. Read these articles for more information, but I'd suggest you're better off registering that car before January if possible:
Tax of a 6.0-litre car in 2021?
What is the price of taxing your car bought in 2012 with a 6.0-litre engine with the new budget rates?
Fionnuala Doyle (Galway)Oct 2020 Filed under: taxation
Expert answer
Hi Fionnuala,
If the car was registered in 2012 then it is on the CO2-based system already. We can only assume it emits well over the 226g/km that gets it into the top tax Band. Until the end of this year that costs €2,350 and it will go up to €2,400 from 1 January 2021.
Read our Motor Road Tax Prices in Ireland Explained feature for full details.
How to work out the VRT paid on a car?
Can I find out how much VRT was paid on a car?
Paul Hickey (Blarney)Oct 2020 Filed under: VRT
Expert answer
Hi Paul,
Only if you've got the original invoice as far as we know. Other than that you'll have to make an estimate based on the car's CO2 emissions rating and its total Open Market Selling Price. See our How Much VRT is Paid in Ireland? feature for more details on how to do this calculation.
Can you clarify 2021 EV taxes for business?
Hi,
My question relates to the 2021 Budget and the changes relating to BEV purchases as a company car. The information provided by the Government was particularly vague and I'm hoping that you can assist.
The proposal is to reduce the VRT rate from 14% to 7%; however it's unclear if the VRT rebate of €5,000 will remain for 2021 as there is mention of a reduction in this for cars over €40K, which basically includes the majority of normal BEVs as I believe it'll be on the OMSP. Do you know will there be any changes to the 0% BIK as I can't find any reference to this in Revenue documents, except for previous pre-2021 budget clarifications that the 0% BIK would be in place for BEVs purchased by the 31st December 2020.
Regards, Joe Boyle.
Joseph Boyle (Dublin)Oct 2020 Filed under: business
Expert answer
The short answer Joe is that we don’t actually know.
Officially, the Government is saying that the VRT rebate for electric cars will remain, but will be effectively replaced by the new seven per cent VRT band for the lowest-emissions vehicles. As you point out, that relief is reduced when the car has a price tag of above €40,000 — it chops the VRT rebate in half. Stray above €50,000 and there’s no more rebate at all. For now, the SEAI grant of €5,000 remains in place but that will be phased out over time. How much time and how much phasing? We don’t know yet.
The zero-rate Benefit-in-Kind tax remains in place up to the end of 2023, and will quite possibly be renewed in the Budget for that year, but no announcement has yet been made.
As far as the rebate is concerned, most of the Irish importers are now scrambling to try and adjust their prices, and indeed are in negotiation with the European and global head offices so that, come January, the current rebate-inclusive prices will remain more or less in place under the new system.
Basically, and not for the first time, the whole motor tax system has been thrown up into the air and we’re all scrambling to understand it fully before it comes crashing back down.
Keep an eye on our How Much VRT is Paid in Ireland? feature for more as it happens.