Cars imports, Brexit, Budget and Beyond

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Customs Clearance Agent – What is it?

Importing cars from the UK to Ireland is not a new phenomenon. For decades motorists have been looking across the pond for better deals on superior spec vehicles. However things have shifted radically in the past 12 months.

As of January 1st this year, vehicles imported from the United Kingdom into the Republic of Ireland are now subject to customs duty as the United Kingdom is no longer a member of the European Union. In certain scenarios, vehicles that cross the border from Northern Ireland can also be caught for customs duty. However, the entire process is quite complicated as to determine the amount of customs duty to be paid for imported vehicles many variables come into play.

“We recently launched a new service here at VRT.ie, our Customs Clearance Agent tool – Since the United Kingdom has now left the European Union the overall importation process has become hugely complex and realistically now, your average Joe can’t successfully complete the operation without significant hardship and huge delays. We’re delighted to now be offering this service, think of it like hiring an accountant during tax season”

Importing a Vehicle from the UK – The Steps

As mentioned previously, Brexit has had a huge impact and last months Budget announcement is set to alter things further. First of all, you’ve got to acknowledge which bracket it is your vehicle falls under – For most people, you’ll be dealing with VRT Category A, which is the classification given to all cars including SUVs and even mini-buses up to 10 seats.

When buying a vehicle from the United Kingdom you will have to pay additional fees, mainly customs duty, followed by VRT and VAT. However if you are buying a vehicle from Northern Ireland be sure to check if it was previously registered in Great Britain, if it has been it presumably would have already had its custom duties paid when it arrived there.

From here, you must ensure your VAT is paid alongside your vehicle registration tax – This is a levy you must pay when a motor is first registered in Ireland. The amount of VRT due to be paid varies depending on a number of factor, but is mainly based on a percentage of the RRP, recommended retail price, this is takes into account all other taxes – You can use our VRT Calculator to estimate how much is due on a specific car. VRT *has* to be paid on all imports and this confirmation must be shown on your registration certificate.

Check your Cars History

So many times individuals have spotted their dream car for sale on the web, it’s located in the UK and it’s looking like a steal – Chances are if it seems too good to be true, it usually is. It’s essential then to check out your potential new cars history. If you don’t, the vehicle could end up costing you more than its worth in the long term.

You can order a Vehicle History Check in order to determine whether or not this car represents a viable purchase. This will investigate any potential issues surrounding the car, check if there’s any outstanding finance attached or if the vehicle was ever stolen. A full check can even inform you of things like C02 ratings, NCT/MOT history, colour changes, full owner history, road tax info and more.

Leaving the UK & Customs Declarations

Prior to the import itself, you’ll need to inform the relevant UK authorities regarding your intention to export the car. You’ll need to attain the V5C logbook from the seller of the vehicle, alongside an invoice with the purchase date and all other relevant details included. In the VC5 logbook you’ll need to fill out the section which reads ‘notification of permanent export’ and then touch base with DVLA (UK Driver & Vehicle Licensing Agency ) to notify them of the export.

Next, the customs declaration. Since the United Kingdom has formally left the EU you’ve got far more work on your hands here. Our personalised customs clearance agent services can handle every step of the process, from submission, preparation, compliance with regulations and more. This simply ensures the tricky task is handled efficiently and not keeping your vehicle locked up with red tape or sitting on a dock somewhere.

NCTS & VRT

Once your car clears the customs declaration process it will have to be booked in for an appointment at an NCTS centre within 7 days of it hitting Irish shores. Here, the vehicle will go through a VRT inspection. This is a pre-registration exam of the vehicle, carried out on the behalf of the Revenue. The vehicle is checked to ensure it is exactly as you described in your V5C document, you will also need to provide a declaration of the C02 emissions your car produces.

Now it’s time for VRT. Since January 2021, the way of calculating VRT has changed and it is now based off of C02 emissions, replacing the familiar 11 band table. This new VRT table brings Ireland in line with Europe and the rest of the world. However, things are set to change once again this January, with the Irish government announcing even more changes in this years budget. ‘Dirtier’ and older vehicles are set to feel the pinch more than others. See the revised table below –

2022 VRT RATES – VALID FROM 1/1/2022

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Just as an example, cars with emissions between 101g/km to 105g/km could see up to €604 tagged onto the price tag, whilst larger vehicles with emissions over 191g/km could have a monstrous €8765 added to the final bill.

You’ve also got to remember the Nitrogen Oxide surcharges that have been introduced in recent years. Vehicles that produce higher levels of NOx are actually subjected to even higher again rates of VRT. If you’re ensure, use our VRT Calculator to check out just how much you’ll end up paying.

The Wrap Up

Once the bulk of the admin work is done you’ve got to remember one or two last important bits. Around this time you will be issued an Irish reg number, you need to have this displayed within 3 days so you really need to get on top of this and have the whole thing sorted ahead of time. For more information check out our number plate section. After this, you’ll receive your VRT receipt and your RF100 from the NCTS, at this point you’ll have to pay motor tax and get your insurance sorted. The import is now done!

 

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