Michael Joe Cosgrave
Question:84 Mr. Cosgrave asked the Minister for Finance the proportion of the retail price of a car which accrues to the State; and if he will indicate the various taxes or duties which apply.
Written Answers. - Yield to Revenue from Car Sales.
It is assumed the Deputy is referring to the retail price of a new car in the State.
The proportion of the recommended retail selling price which accrues to the State from motor vehicle excise duty on a motor car is 24.7 per cent in respect of a car with an engine capacity exceeding 2,012 cubic centimetres and 21.7 per cent in respect of other cars.
In addition value-added tax is charged at the rate of 23 per cent on the VAT exclusive sale price of a car, giving a rate of 18.7 per cent on the VAT inclusive price.
Cars may also be liable to customs duty if imported from outside the EC but this duty does not accrue to the State.