CompleteCar
Search Ask Us Anything
Showing 261 - 270 results (out of a total of 667) found for "vat" in Ask Us Anything

Is there VAT on used cars from the North?

Is there VAT on second hand cars from the North?

Matt Flynn (Castlebar )

Jan 2021 Filed under: importing

Expert answer

Hi Matt,

Assuming you mean VAT on importing from the North, then the answer is no for the most part. The exception is on cars that are less than six months old or with fewer than 6,000km on the clock, as they are treated as new.


Having difficulty insuring a commercial Yeti...

Hi guys,

I was really interested to read your article on taxing and insuring commercial vehicles for private use. I drive a commercial Skoda Yeti (2.0-litre 4x4) that is registered commercially, but which I have taxed and insured privately. I have no VAT number so commercial tax and insurance is out of the question. Adding to this, I can only find one insurer to give me a policy. I was wondering if it's possible to re-register the car as a private vehicle that just happens to have no back seats. This was flagged as the reason insurers won't look at me (my driving history is squeaky clean). Any suggestions here would be great. I love the car and got a great price on it so I really dont want to sell it.

Conor Behan (Thomastown)

Jan 2021 Filed under: insurance

Expert answer

Hi Conor,

You say you’ve already taxed the Yeti privately, is that right? Once you’ve informed your local motor tax office of the change of status, that should be sufficient for any insurer. That said, Irish insurers will find any excuse in the book to either not quote you, or to give you some astronomical quote just to make you go away. Our advice is to find a good insurance broker who can help you navigate the ins and outs. 


Does a private buyer pay VAT on a van?

I put down a deposit on a Ford Transit van, I am retired and will only use this van for private use. Do I have to pay VAT? I am not registered for VAT and do not have a business. Can I get the van registration changed for private use?

Brian Blackmore (Tournafulla Co Limerick)

Jan 2021 Filed under: commercial vehicle

Expert answer

Hi Brian,

You will have to pay the VAT I’m afraid. In fact, you’d have to pay it as a commercial buyer as well, but you could of course reclaim it then subsequently. As a private buyer, you just have to pay it, unfortunately. For using a commercial as a private car, you have to let your local motor tax office know that you’re doing so, and you’ll then pay tax based on the size of the engine, not the CO2 emissions figure. Getting private insurance for a commercial vehicle can be tricky, so shop around carefully or get in touch with a good broker before you commit.


Can I tax this Hyundai commercial privately?

I am thinking of buying a 2011 Hyundai Santa Fe 2.0-litre SUV that is 'crew cabbed' and has annual tax of €333, though it has five seats. Do I need commercial insurance? Can I tax it without owning a commercial business?

Joseph Murphy (Clonygown, Tullamore, County Off)

Jan 2021 Filed under: commercial vehicle

Expert answer

Hi Joseph,

If you want to tax a commercial vehicle at commercial vehicle rates, then it has to be strictly used for work purposes, so yes you would need a commercial business to do that. It has to then be used strictly for work purposes — no dropping the kids to school or heading off for the weekend — and there are substantial fines for any breach of that rule. If you want to use it as personal or family transport, then it’ll have to be taxed as a private car. 

Read our Buying a commercial vehicle for private use feature for more detail.


Ok to buy a car from North, previously in UK?

Hi.

If I buy a car in Northern Ireland dealership that was in Northern Ireland before 31st Dec, but originated in the UK, will I be liable for 10 per cent custom charges? If car was only brought into Northern Ireland from UK after 1st Jan, would 10 per cent custom charges apply in this instance also?

Sean Maher (Dublin)

Jan 2021 Filed under: importing

Expert answer

Hi Sean,

You should be fine, but I’d check with Revenue beforehand just to be certain. Revenue has previously told us that they will be carefully watching the papertrail of cars being imported from Northern Ireland to make sure that they’re not just being temporarily housed there to avoid the new taxes. If you’re buying from a dealer, though, it shouldn’t be an issue — after all, if you’ve bought from a dealer, then you’re just buying from their stock, and have no control over how long the car has been in the North. Just make sure that the papertrail for the purchase is clear and complete and you shouldn’t be liable for either the ten per cent import charge, nor the 21 per cent VAT (assuming the car is older than six months). 


Motor tax on a private 2020 Hilux?

I'm considering buying a 2020 Land Cruiser commercial (currently €333 tax annually). It's the LWB GX Commercial Auto model. It's really for transporting two large dogs. The question I have is, as a PAYE worker, how much am I gonna get landed with for motor tax each year?

Kieran Kelly (Ballyshannon)

Jan 2021 Filed under: taxation

Expert answer

Hi Kieran,

To tax a commercial vehicle privately, it goes by the engine size. Assuming this is the 2.4 (with a 2,393cc engine), then that works out as €1,034 per annum.

Read our Buying a commercial vehicle for private use  feature for more.


I want to import a new Transit Custom...

Hi,

I am looking to purchase a brand new Ford Transit Custom MS-RT from the UK, which cannot be got in the Republic of Ireland. My question is , as I am VAT-registered, do I have to now pay VAT in the UK or give the dealer my Irish VAT number? Do I also have to pay import duty? Is there any other hidden cost?

Thanks

Alan

Alan O Riordan (Cork )

Jan 2021 Filed under: importing

Expert answer

Hi Alan,

Yes, you’ll have to pay import duty, which will be ten per cent of the price of the car, plus transportation costs. You’ll also have to pay VAT twice — once to the UK authorities and again when you complete the import process here. If you’re VAT-registered you should be able to claim back the VAT at this end, but claiming it back  from the UK will be much trickier.

In theory, the Brexit trade agreement allows for such things, but the paperwork’s a mess at the moment, and no-one really seems to know what’s going on. You could make things a little easier for yourself by buying from a dealer in Northern Ireland — you’ll not have to pay the ten per cent import duty and, although you’ll be stung for the VAT, the NI authorities are a little more switched on as there are reciprocal cross-border tax arrangements. 


Looking at buying a van privately...

Hi,

I want to buy a commercial van to use for private use with a possibility of using as a business venture in the future - setting up my own property maintenance business. How do I get a VAT number to tax a van? Can I just apply for a TCC with Revenue?

Danielle Smith (Mullingar)

Jan 2021 Filed under: commercial vehicle

Expert answer

Hi Danielle,

Yes, you can fill out a TR1 or TR2 form with Revenue to apply for VAT (depending on whether you’re applying as an individual, a sole trader, or a limited company) and you can find full details on that here. If you’re using the van privately (ie for anything other than journeys solely connected to business), then you’ll have to tax it as a private car, which puts you onto the old by-engine-capacity tax system. You’ll need to notify your local motor tax office that you’re doing this, and your insurer too.

We’ve heard tales from some readers that getting private insurance for a van can be tricky, so shop around, and maybe get in touch with a good broker, first.

In the meantime, have a read of our Buying a commercial vehicle for private use feature.


Can I claim back VAT on this Passat?

Hi.

I saw a 2018 Volkswagen Passat GTE for sale in the UK. It is VAT-qualifying. Does this mean I can claim back the VAT on it, therefore cancelling out paying the new VAT applied after Brexit? If so I will just be paying VRT?

Eoin Burke (Mullingar)

Jan 2021 Filed under: importing

Expert answer

Hi Eoin,

If you are, yourself, VAT registered, or if your company is and you’re buying the car through the company, then that may well be possible, but I would check with your accountant just to be certain before taking any leaps. Also, don't forget about the NOx levy and customs duty that will be due regardless. Read our Guide to Importing Cars from the UK feature for full details.


Can you calculate this Peugeot's VRT?

Any chance I could ask you to calculate the VRT on the car below for me please? The car is a 2018 Peugeot 3008 1.6 diesel with 30,000 miles on the clock and is listed at £15,000, or about €18,000. I tried to calculate it and the VRT was coming out at nearly €10,000.

Regards

John

John McSweeney (Kinsale Road Commercial Park)

Jan 2021 Filed under: VRT

Expert answer

Hi John,

You've asked solely about VRT, so we're assuming you're importing the car from the North, not England, Wales or Scotland. If it's not from the North, you'll have to pay VAT and customs duty as well as VRT and the NOx levy.

So, the price it is listed at means effectively nothing. Revenue will come up with its own OMSP (Open Market Selling Price), which it reckons it would sell for in Ireland at the time of the registration changeover. It's not easy to estimate what that would be. We'd guess €26,000.

A quick search shows that car's WLTP CO2 rating at 147g/km (depends on which specific version of that car you are looking at), which means a VRT rate of 21 per cent. At an OMSP of €26,000, that means VRT of €5,460. The NOx levy will be on top of that.