Commercial Vehicles

slookie

Hi all,
What's the story with these? Couple of nice jeeps online that are commercial and way cheaper. But do you have to be registered for VAT to buy one? Am I right in saying that you can't have a back seat in one? Anything else I need to know about?
Thanks in advance.

DanGerMus

You don't have to be registered for VAT to buy one but if you are you can Claim the VAT back.
Generally they dont have back seats but you can buy "crew Cabs" which could be a van or pickup type vehicle with some back seats.

There are thousands of these vehicles for sale now and cash will get you a great deal.

R.O.R

slookie wrote: »

Hi all,
What's the story with these? Couple of nice jeeps online that are commercial and way cheaper. But do you have to be registered for VAT to buy one? Am I right in saying that you can't have a back seat in one? Anything else I need to know about?
Thanks in advance.

You don't have to be VAT registered to buy them, but you'll have to pay 21.5% VAT on top of the asking price if it's advertised as EX. VAT.

Only 2 seats in the front and loads of space in the back. Good if you only need 2 seats, bad if you need more as it's against the law to carry passengers in the back of a commercial, and will probably invalidate your insurance.

If you currently have insurance on a car, you may have difficulty switching that policy to a commercial vehicle.

Tax on commercials is €288 per year whereas the passenger versions for most off roaders is at least twice that amount, but the vehicle will need a DOE test every year instead of an NCT every 2 years after it's 4th Birthday.

Kartale

No anyone can buy a commercial vehicle. being registered for VAT lets you cliam the VAT back after purchase.
Similarily when selling your vehicle that is not VAT registered you will have a smaller market to sell your vehicle to, as others vat regd will want to claim vat back, and cant on your particular vehicle.
All this really depends on age as an older vehicle does not really matter due to price

Buffman

The DOT(DOE) test costs:

How much does it cost?
- Current prices ex VAT were set by Department Of Transport on 29 October 2007. As of 01 December 2008, the new VAT rate of 21.5% came into effect, and the current prices are as follows:
Light Goods Vehicles (LGV), DGVW less than 3,500kg €86.09
Heavy Goods Vehicles (HGV), DGVW 3,501kg to 7,500 kg €114.84
Heavy Goods Vehicles (HGV), DGVW over 7,500kg with 2 axles €143.56
Heavy Goods Vehicles (HGV), DGVW over 7,500kg with 3 axles €179.42
Heavy Goods Vehicles (HGV), DGVW over 7,500kg with 4 or more axles €200.89
Trailers / Semi-Trailers, DGVW exceeding 3,500kg €129.15
Buses (vehicles with 8 seats or more, exluding drivers seat) €179.42
Ambulances €114.84

*DGVW = Design Gross Vehicle Weight

Some other info here

shanejunkin

I have a limited company and am registered for VAT. If I buy a commercial vehicle through the limited company can that spend (ex VAT) be written off as a business expense?

Eoin

I'd talk to an accountant, but I'd imagine it would need to be written off over a few years.