Which taxes on importing a new BMW 530e?
Hello
I am based in Dublin and willing to buy a 2024 BMW 530e (plug-in hybrid) from Northern Ireland. Will I have to pay VRT, VAT and import fees or only VRT?
Thank you
Michael Mousa (Dublin)Oct 2024 Filed under: importing
Expert answer
Hi Michael,
So long as the BMW was imported into Northern Ireland properly and used there by a private individual before you import it south, then you should only be liable for the VRT and NOx levy. But you will need the paperwork to prove all of that.
Read our Guide to importing a car from Northern Ireland#mce_temp_url# for more details
Will I have to pay VAT and VRT on this MG?
Hi,
I'm looking to import a 50-year-old MG from Northern Ireland (NI). The current owner in NI has owned the car since May 2024, so less than six months. The previous owner also lived in NI, but there is no way to prove that from the V5 document, or from MOT certificates which are no longer required. The car has an original UK mainland registration.
Given the comment 'Proof will be required that the vehicle has been in private ownership for a reasonable period of time’, stated on the Revenue pages, will the import be liable for both VAT and VRT?
Thank you for your help
Marcus Wilson (Bandon)Oct 2024 Filed under: classic cars
Expert answer
Hi Marcus,
Though Revenue is a bit vague about it, it has been generally accepted that three months is a reasonable amount of time and we don’t believe you will be liable for VAT or customs duty on that car.
All imports attract VRT, but the good news for you is that it’s fixed for classics at just €200.
What taxes to pay importing a Tesla or Skoda?
Hi,
I am looking at buying a second-hand Tesla Model 3. I am keeping an eye on some that are in the North. We are talking 2020 Model 3 standard plus with 50,000km done.
From my research I believe I do not have to pay VRT. However, I can’t get clear info on customs duty or any other hidden costs. Can you help? Also, if I was to go for a 2019 Skoda Superb plug-in hybrid, I assume I have to pay VRT and customs duty?
Adrian Miskell (Athenry)Oct 2024 Filed under: importing
Expert answer
Hi Adrian,
There is VRT relief on first registration of an electric car in Ireland, which effectively means no VRT for most imports such as that Tesla.
VRT would be payable on importing a Skoda PHEV, though as the CO2 emissions rating is so low for those, the VRT would be relatively low as well - likely to be just seven per cent of the OMSP (the Open Market Selling Price as determined by Revenue).
Regardless of what powers the car you import from the North, VAT and customs duty liability depends only on whether the car was imported into the North properly and used there by a private individual for a “reasonable amount of time” - generally accepted to be three months.
I suggest you read our Guide to Importing a Car from Northern Ireland feature to gain more understanding.
How much to import either this BMW or Audi?
Hi team,
I hope this message finds you well. I am considering importing a vehicle from the UK to Ireland and would appreciate your insights on the most cost-effective approach. Notably, I've observed a significant price disparity between the second-hand car market in Ireland and the UK, which calls for a re-evaluation of our local market.
Currently, I am interested in two specific models:
2017 (66-reg) BMW 4 Series Gran Coupe 420d M Sport manual
2016 (16-reg) Audi A5 2.0 TDI quattro SE Sportback
Unfortunately, I find it challenging to determine the exact costs associated with importing these vehicles into Ireland. Could you please provide a breakdown of the expenses, including VRT, VAT, and customs duties?
Additionally, I would like to know if sourcing a vehicle from Northern Ireland would yield lower costs.
Lastly, if I engage a dealer to handle the import process on my behalf, would this approach potentially reduce the import expenses?
Thank you for your assistance!
Best regards
Dean McDonnell (Leixlip)Oct 2024 Filed under: importing
Expert answer
Hi Dean,
I'll address your questions in reverse order.
It may be possible to make savings if a dealer brings a car in for you, but we've never been through the process so couldn't say for sure. They obviously will still want to make a profit out of the sale, so I suspect most will be reticent to get involved in sourcing a specific car in the way you’re describing. If you know one personally, it’s worth having a conversation about it of course.
If you go it alone, sourcing a car from Northern Ireland should work out cheaper than from England, Scotland or Wales if the car has actually been registered there and then used by a private individual for “a reasonable period of time”. Those are Revenue’s words and it’s widely accepted that three months minimum is acceptable. The car in question should therefore be free of any VAT or customs duty on import to the south.
No matter where you import the car from, you will be liable for VRT and the NOx levy, depending on how much NOx and CO2 the car emits according to its official numbers. I suggest you read our How Much VRT Is Paid In Ireland? feature to gain a full understanding of that.
According to our records, the BMW described should have a CO2 rating of 119g/km, putting it into Band 10 for VRT, at a rate of 16 per cent. Just to confuse things, Revenue calculates VRT based on what it calls the Open Market Selling Price (OMSP). This is not what you actually paid for the car, but the value Revenue reckons it is worth on the Irish market. It’s difficult to predict as it’s not confirmed until you bring the car for inspection on arrival in Ireland, and extra equipment etc. can raise the price. Our guess for that BMW would be €28,000, meaning a VRT bill of €4,480.
According to our records, the BMW described should have a NOx output of 38mg/km, meaning a NOx levy of €190.
The equivalent data for the Audi shows a CO2 rating of 135g/km, meaning Band 13 for VRT at 19.25 per cent of the OMSP. If that’s €28,000 again (and always bear in mind Revenue may say it’s higher), then the VRT bill would be €5,390.
The Audi’s NOx rating is 45mg/km, meaning a NOx levy of €275.
Finally, if you import a car from outside the “customs union” - e.g. England, Scotland or Wales - it will be subject to VAT at 23 per cent and import duty of 10 per cent. Those are calculated using the price you actually paid for the car, plus transport costs.
Hopefully that has helped you understand a little more.
I’d also recommend you read our Guide to importing a car from Northern Ireland feature for more on that.
Can I get an NI dealer to import a car for me?
Hi,
Great article 'Guide to importing a car from Northern Ireland'. I'm looking to import a used car (older than two years) from NI to ROI but as the NI market is very limited in stock for the make/model I'm looking for the car would need to originally come from GB (bigger market, more choice).
With the latest Revenue guidelines on 'Vehicles that were not previously in use in NI', in theory is there any downside (legally or financially) to me asking an NI dealer to buy a specific car from a GB dealer on my behalf but in the dealer's name, import it to NI under the Windsor Framework and sell the car to me for import to ROI and give me a copy of the NI Customs Declaration?
Do I understand correctly from Revenue's guidelines and your article that this would then leave me liable to VRT but not to ROI customs or VAT?
When importing the car to NI, does the dealer have to pay UK customs and VAT that they would then likely have to pass the cost on to me in the form of a higher sale price? Or can the NI dealer reclaim the UK VAT upon selling the car to me for export to ROI?
I just want to pre-determine any additional costs beyond VRT and any fee the NI dealer may add on.
Thanks in advance for your help
George Davis (GREYSTONES)Sep 2024 Filed under: importing
Expert answer
Hi George,
I believe your thinking is all correct, except that there is no onus on the dealer to pass on the VAT reclaim saving to you.
Can we use a commercial Land Rover privately?
Hello
We are looking at buying a 2015 Land Rover crew cab [a five-seater] Discovery from a family relation. He owns the car and pays commercial tax rate of €333/year. My wife and I are employed in the private sector and do not own a company.
We want to know:
1. If we buy the car and use it for day to day commute, dropping kids to creche etc, can we still avail of the €333 tax rate?
2. Is it possible for us to take out insurance on the vehicle whilst availing of the tax rate above?
Any advice would be much appreciated
Thanks
Owen Stephens (Dublin 15)Sep 2024 Filed under: commercial vehicle
Expert answer
Hi Owen,
There are strict rules forbidding the use of vehicles registered as commercials (as the Discovery described above is) for anything other than purely business/company use. The rule says you cannot use it for private use as you've described. Many do, I might add, and just hope not to get caught...
Insurance might be trickier, however. The insurers don't seem to like insuring private individuals on commercial vehicles. Only way to know if that will affect you is to ring around and see what they say. Or employ a broker to do the same.
Can an NI car dealer claim back VAT?
In the scenario of a private individual importing a car from an NI dealer that has not previously been used in NI, is it correct that if the car has been imported to NI in accordance with the Windsor Framework that no ROI customs or VAT applies?
If so, what requirements does the NI dealer need to meet in order to import the car to NI in accordance with the Windsor Framework? E.g. does the NI dealer have to pay UK customs and VAT? If so, would that UK VAT be re-claimed by the NI dealer upon selling to me (for export to ROI)?
Thanks!
David O'Loughlin (GREYSTONES)Sep 2024 Filed under: importing
Expert answer
Hi David,
Yes, our understanding mirrors yours - if the car is imported into NI by a dealer in accordance with the Windsor Framework and you buy it and import it South then no customs duty or VAT will be payable by you to Revenue in Ireland. Note that Revenue will look for proof of an import declaration lodged in NI by the dealer.
And yes, the NI dealer would have to pay VAT to make that happen, but they can claim that back.
VRT on an imported VW Transporter?
Hi,
A friend of mine purchased and imported a Volkswagen Transporter van a year ago from England but didn't pay the VRT yet. He has paid the Customs Duty (10%) and VAT (23%) but didn't pay the VRT.
How much would the VRT be if he decides to pay it (including any late payment penalties where applicable)? Is it VRT Category B of 13.3% of OMSP or is it €200 flat fee based on N1 van category as it has only three front seats (no back seats) and a laden mass greater than 130% of the mass in service (whatever that means)?
Thanks
Des D (Maynooth)Sep 2024 Filed under: VRT
Expert answer
Hi Des,
The late payment penalty is 0.1 per cent per day after the allowed 30 days. If the van is as described, with a VRT fee of €200, then the daily penalty added on is just 20 cents...
I can't get insurance on a private van...
I currently own a standard car. Like many, I'd love a campervan, but the costs are too high, so I am hoping to buy a van to convert it. I am not a business owner, and I am aware I will pay the private tax on the van.
However, I seem to be coming across an issue with insurance. I understand I will have to take out a new policy, I would not move my no claims over to the van, so will be starting from scratch. But I seem to be declined insurance everywhere and I'm not sure why. I would insure it as a private van, until the conversion is complete and then look into converting on the logbook etc. Is there any law/rule against owning a commercial van, taxing and insuring it privately, converting it and then not changing it on the log book to a campervan?
There seem to be so many hoops to jump through, I just want to put a bed in the back of my van...
Any help would be appreciated, thank you!
Kirsty Durnall (Midleton)Sep 2024 Filed under: insurance
Expert answer
Hi Kirsty,
You're not the first to run up against this issue. Getting insurance to use a van as a private vehicle is bizarrely difficult: it seems the insurers don't want to get involved.
We don't have an easy fix for you, but would suggest looking into employing an independent insurance broker to do the legwork for you rather than trying to deal direct with the big insurance companies.
If you find a good solution, please do let us know.
Thinking of importing a Combe E from the North...
Hi,
I'm considering importing an electric Vauxhall Combo E from a Vauxhall dealer in NI. It's a 2022 model with 10k miles on the clock. It was originally registered in the UK mainland and as of yet not been registered in NI. What would the VRT, VAT implications be if I where to purchase this vehicle?
Thanks in advance
Willie Nugent (Dublin)Sep 2024 Filed under: importing
Expert answer
Hi Willie,
If the van is deemed to have an OMSP (Open Market Selling Price) of under €40,000 by Revenue (and I assume it will) then there should be no VRT as there's relief of up to €5,000. Obviously there's no NOx levy either.
Now, if the vehicle was never registered and used in Northern Ireland then it's no different to just importing it from England, Scotland or Wales in terms of VAT and import duty. You will be liable for both, at 23 per cent and 10 per cent, respectively.