Pearse Doherty
Question:508. Deputy Pearse Doherty asked the Minister for Finance the supporting documentation required for a VRT application to be processed; and if he will make a statement on the matter. [15872/21]
View answerWednesday, 24 March 2021
Questions (508, 509)
Pearse Doherty
Question:509. Deputy Pearse Doherty asked the Minister for Finance if a quarterly stock report and shipping documentation from the seller for a vehicle imported from Northern Ireland is required in order to process a VRT application; and if he will make a statement on the matter. [15873/21]
View answerWritten answers
I propose to take Questions Nos. 508 and 509 together.
I am advised by the Revenue Commissioners that where an individual purchases a new vehicle in the State, the motor dealer will register it at the point of sale. The dealer will pay the relevant Vehicle Registration Tax and Value Added Tax to Revenue and the vehicle will be supplied with registration plates. In all other cases where a vehicle is purchased and brought into the State it must be registered at a National Car Testing Service centre (NCTS). At the NCTS centre the vehicle will be inspected and the tax payable calculated by the operator.
Where the vehicle to be registered is a new vehicle, a valid Certificate of Conformity (CoC) must be entered on the Revenue system before registration can proceed. A CoC contains information produced by a manufacturer that is unique to each vehicle manufactured. An individual purchasing a new vehicle to bring into the State must check in advance that the car seller has a CoC prior to purchase. Full details on CoC requirements for registration are available on the Revenue website at https://www.revenue.ie/en/importing-vehicles-duty-free-allowances/documents/vrt/ecoc-procedures-manual.pdf
Where the vehicle being purchased from abroad is a used vehicle, foreign registration documents will be required to register the vehicle in the State, along with confirmation of the level of CO2 and NOx emissions of the vehicle at the time of manufacture. Further documentation required at registration includes the PPSN and proof of identity of the person registering the vehicle and that of the vehicle owner if registering on behalf of someone else. A Vehicle Purchase Details (VPD) Form is required and documentary evidence of the date a vehicle entered the State. This evidence can include shipping details from the seller or travel documents. An import declaration specifying when the vehicle was brought into the EU is required as well as an invoice clearly showing the date of purchase. Where the invoice is more than 30 days old, evidence of vehicle storage outside the State may be required.
Since 1 January 2021 an import of a vehicle from Great Britain is treated as an import from a non-European Union (EU) country. Prior to presenting a vehicle imported from Great Britain for registration a customs declaration must be completed and any customs duty if applicable must be paid along with VAT at 23%.
Where a person has purchased a vehicle that was registered in Northern Ireland or registered to a person resident in Northern Ireland before 1 January 2021, this vehicle may be registered in the State, on payment of VRT, without any checks on its customs status. However, vehicles first registered in Great Britain and subsequently registered in or brought into Northern Ireland after 1 January 2021 may be liable to customs duty, if applicable, and are liable to VAT at import if they are subsequently imported into the State.
Where the importer provides a copy of the import declaration in respect of the importation into Northern Ireland that clearly identifies the vehicle, customs duty will not apply but VAT at import must be paid or accounted for. A VAT registered dealer will be able to avail of postponed accounting for VAT at import in respect of importations from Great Britain or Northern Ireland and therefore VAT will become payable when the vehicle is sold. The VAT registered dealer will account for the VAT at import in their normal VAT return and take a simultaneous input VAT deduction. When the vehicle is sold the dealer must charge VAT at 23% on the full value of the sale (excluding VRT), not their margin.
Full details on the requirements for registering a vehicle in the State, including the arrangements in place since 1 January 2021 for vehicles purchased from Great Britain and Northern Ireland, are available on the Revenue website.