Importing Cars and Reselling

wisjoc

Hi

Does anyone know if there is any profit in importing a car from the UK paying the VRT and then selling it on for a profit. Obviously this would depend on the car, it's popularity, OMSP etc. But is anyone aware of anyone doing this privately on a regular basis. Everyone I speak to says there can be a saving of €6000 -7000 on importing, say, a 3 year old Audi A4 even when paying the VRT. Why not split the difference and make a couple of grand and sell it on privately.

I know that once you pay the VRT there is no time limit to when you can sell the car. Obviously, if you done this a few times the VRO would clock on to this and then you would be talking about paying tax etc. on any profits.

If I am being slightly niaive and this has been discussed before please do hesitate to say so.

Thanks

Captain Slow IRL

Right now, I'd doubt it very much. There seems to be an awful lot of roadside dealers dealing with uk cars at the moment, and looking at carzone, they don't seem to be shifting them!

IMO, if it was done properly it would be a gold-mine - source out the higher spec, lower mileage with full comprehensive history and sell them as cheap as possible.

If you were to look at jap imports, there would probably be a larger profit margin - they seem to be a lot cheaper than the uk cars.

Biro

Every flute is at it. Don't bother, cause unless you have a far cleaner car that's for sale a lot cheaper than anyone elses, you'll be stuck with it. Probably 3 in every 4 cars for sale have been imported, the market is completely flooded. And what's worse, anyone importing just for profit aren't fussy as the car isn't for them, so the amount of clocked heaps of shyte on the roads is shocking.
Especially stay away from A4's. I'd say Irish Ferries are the only ones making money on those at the minute for all of them coming in.

Gran Hermano

I believe Revenue are wide to this as and keeping an eye out for
people making an income from importing and reselling. Expect a nasty
tax bill and fine if you fail to declare any income from this method.

S.I.R

i know people who this.... wouldn't trust anyone as far asi could throw them , ofcourse theres Plenty of money to be made , if you know what your doing.

--amadeus--

Don't look on it as an income replacement but yes it is possible to import and make a profit on cars.

Do be careful, importing batches of cars and throwing them on your front yard with "for sale" signs will get you done fairly quickly. Spend time on research and buy a car that you like and want to drive, bring it in and put it up for sale a few weeks after you've cleared it. Once it's sold repeat the process.

The advantages are that it is much less capital intensive and if you are selling a car that you drive for personal use then you don't have to register as a trader, so no legal obligations there. THIS DOES NOT MEAN YOU CAN AVOID PAYING TAX ON ANY PROFIT, you are still liable, it's still (afaik) counted as income.

Don't bother bringing in mainstream cars ( BMW 3 series, Audi A4, etc) the place is flooded with them. Instead go for niche cars, maybe top spec Range Rovers or luxo cars that have been converted to LPG or sports or classic cars. Less competition means you should shift them more easily.

I've been doing this for a couple of years now with classics and I always (at least) break even, best yet has been a 3k profit. My attitude is that (apart from petrol) I effectively drive for free - the profit from one car to the next pays for insurance and maintenance and I never have depreciation to worry about.

Barr

I think people are alot more willing to source their own car in the UK these days and make the trip themselves.

At this stage everyone knows someone now whoes imported from the UK and saved a packet (most likely an A4)

blastman

--amadeus-- wrote: »

The advantages are that it is much less capital intensive and if you are selling a car that you drive for personal use then you don't have to register as a trader, so no legal obligations there. THIS DOES NOT MEAN YOU CAN AVOID PAYING TAX ON ANY PROFIT, you are still liable, it's still (afaik) counted as income.

The VRT office will note your PPS number when you import a car. Import more than two a year and you can expect the Revenue to be informed.

ankles

Silly question. What about the speedo and odometer? Can these be changed to km's or do people generally stick with Imperial measurements? THinking of importing an Alfa but would like to convert it so in a few years it will be (somewhat) sellable.

--amadeus--

The thing with the PPS number is - I think - fairly recent, as in last two or three years. When I took in my first foreign car I had to bring it down for a physical inspection and I don't think they took my PPS number. Then a while back no inspection was needed but PPS number was. I suppose they must have streamlined teh process because of teh volume of imports.

I wouldn't change the speedo. If I was buying a car and I knew (or suspected) it was a UK import but it had a KM speedo then I'd assume it was clocked. ANd unless the car is really old it'll have KMs on the inside of the dial anyway.

niceirishfella

funny that, I cleared a motor 2 months ago in the vrt office, and my pps no was never asked for?

alo1587

niceirishfella wrote: »

funny that, I cleared a motor 2 months ago in the vrt office, and my pps no was never asked for?

I think its the norm to be asked for PPS number now but i guess it depends on the person you're dealing with in the VRO and how close they are to a tea break.:D

PauloMN

Biro wrote: »

Every flute is at it. Don't bother, cause unless you have a far cleaner car that's for sale a lot cheaper than anyone elses, you'll be stuck with it. Probably 3 in every 4 cars for sale have been imported, the market is completely flooded. And what's worse, anyone importing just for profit aren't fussy as the car isn't for them, so the amount of clocked heaps of shyte on the roads is shocking.
Especially stay away from A4's. I'd say Irish Ferries are the only ones making money on those at the minute for all of them coming in.

Can't argue with any of that. When I was shopping for my A4, the vast majority of imported ones I saw were complete ****e. I was a bit shocked TBH as I was looking at '03s, so not exactly ancient, but most were probably company cars that the drivers didn't give a **** about. Obviously they are the ones that the dealers would make most money on as they'd have been cheaper to buy in the UK.

Plenty of good ones in the UK but the same profit margins won't be achievable hence no point in bringing them in (as a dealer I mean).

I ended up buying an Irish one in fantastic condition from a decent dealer for the same money that these sham dealers were looking for tatty - and in at least one case - clocked UK imports.

I think most people here are copping on to the fact that buying a UK import from a dealer here is a waste of time and money. Either buy a good used Irish car here or head to the UK yourself, pick a good car and gain from the savings rather than sticking it in a dealer's pocket.