Dáil Éireann Debate, Thursday - 4 February 2021
62. Deputy Matt Carthy asked the Minister for Finance the basis on which the Revenue Commissioners amended previous advice that tariffs would not apply to used imported vehicles from the UK from 1 January 2021 to the current position that tariffs would apply; if he plans to have this position reviewed; and if he will make a statement on the matter. [6251/21]
View answerI am advised by Revenue that the position regarding customs tariff duty rates for imports from the UK post-Brexit was not confirmed until the trade deal was agreed between the EU and the UK on 24 December 2020. The advice provided by Revenue prior to this has been consistently on the basis that the actual position as regards the operation of tariffs from 1 January 2021 was subject to the availability of the text of the trade deal agreement.
The EU-UK Trade and Cooperation Agreement (TCA), eliminated tariff duties for trade between the EU and Great Britain where the relevant rules on origin are met. The customs tariff duty on the import of vehicles of UK origin is 0%. However, where the vehicles being imported from the UK are not of UK origin then customs tariff duties apply. The tariff rate in any given instance depends on the type of vehicle being imported. For example, passenger cars of non-UK origin are liable to a customs tariff rate of 10%. Customs tariff duty, if applicable, applies on the customs value of the vehicle. The customs value is the invoice price plus the cost of transport and insurance.
Customs is an EU competence and is governed by EU legislation including the recently negotiated trade agreement with the UK. This legislation applies in all Member States, and it is not possible for Ireland to implement any measures that are not in compliance with the TCA.
