Vol. 462 No. 3
51 Mr. N. Ahern asked the Minister for Finance the solution that can be found for drivers who purchase imported second-hand cars which are registered but not taxed and are being driven without current tax discs and who later realise that there are arrears of several hundred pounds due. [4665/96]
Under Section 20 of the Finance Act (No. 2), 1992, liability for licensing (i.e. road tax) on every motor vehicle, either new or second-hand, arises from the time of first registration in the State. However, section 117 of the Finance Act, 1995, provides that where there is a prolonged delay between the first registration of a vehicle and subsequent licensing, the vehicle licence shall be effective from the beginning of the month of licensing provided certain administrative conditions are complied with — these include notifying the local authority of the intention not to put the vehicle on the road for specified reasons and paying a fee of £20 to the licensing authority within seven working days of the registration of the vehicle. It should be noted that the provisions of section 117 do not apply retrospectively and, accordingly, arrears of road tax must be paid on registered, but unlicensed, imported cars before they can be issued with a current road tax disc.
Accordingly, there is no provision to waive arrears of road tax in the circumstances described by the Deputy. I would suggest that it is in the prospective buyer's interest to check out such matters at the time of purchase.
