Motorists importing cars face stricter VRT rules

MOTORISTS importing cars into the Republic will face stricter registration rules from next month as part of a crackdown by the Revenue Commissioners on Vehicle Registration Tax fraud.

The measures are being introduced to prevent owners from making false declarations that high-powered, new and used vehicles are more basic models in order to avoid paying higher rates of VRT.

From September 1, pre-registration checks will be carried out on all imported vehicles by the operators of the National Car Test.

Anyone importing a vehicle into the Republic will have seven days to make an appointment for the pre-registration inspection and 30 days to complete the registration process. These new deadlines replace the existing 24-hour limit to register an imported vehicle.

Anyone wanting to register a vehicle in the Republic from next Wednesday will have to make an appointment to bring it to a National Car Testing service centre within a week of it being brought into the jurisdiction. Owners will also have to bring a number of documents for inspection by NCTS staff, including proof of identity and a PPS number.

Motorists with new models will have to provide an invoice indicating the date of purchase and shipping details if imported from anywhere except Northern Ireland. Revenue may impose an additional charge where an owner is unable to provide satisfactory evidence of the date the vehicle was brought into the Republic.

Owners of used models will have to provide evidence of previous registration and documentation on the vehicle’s CO2 emissions.

Vehicles over four years old will also require an unexpired roadworthiness certificate. Otherwise, the vehicle will have to undergo a NCT shortly after registration.

If the vehicle satisfies the conditions for registration, the details will be forwarded to Revenue who will determine the level of VRT to be paid. Motorists can appeal the amount of VRT charged to Revenue but only after paying the original estimate.

VRT is calculated as a percentage of the expected retail price – known as the open market selling price. Estimates of the VRT due on all types of makes and models can be found on the Revenue website www.revenue.ie

NCTS centres will also collect VRT payments on behalf of the Revenue and they will issue registration plates once the correct amount of tax has been paid.

A vehicle registration certificate will be issued by the Department of Transport after related motor tax has been paid on the vehicle.

Tax relief on VRT is available for people who may have lived abroad or received a vehicle as an inheritance as well as individuals who suffer certain disabilities.

A Revenue spokesperson said importers of used vehicles would face no additional charges as a result of the new measures.

“The NCTS will charge for each vehicle presented for registration but this charge will be allowed against the VRT payable,” he added.

The Revenue admitted that its staff did not currently examine all imported vehicles being registered in the Republic.