2nd hand Plug in hybrid import grant

damo642

Hi,

I am considering importing a 2nd hand golf GTE (Cost is 25000 euros and the car is 1 year old with 4000 miles on the clock).
The import tax is approx Euros 4k per the revenue website.
Can i then get a 2500 Euro reduction from that via the SEAI grant which would then mean the VRT is 1500 ?

thanks
Damo642

Soarer

Ordinarily the reduction in VRT is calculated during the online quote, and the price you see is the price you pay...in your case €4k.
It certainly doesn't seem to take into account the reduction for being a PHEV.

I reckon, unless you can get it sorted beforehand, you'll have to pay the €4k, and then appeal.

Good value for a GTE though. A good bit less than the revenue quoted figure of nearly €39k!

damo642

I emailed SEAI and this was their response. Basically its only for new cars purchased in Ireland though approved suppliers or at least that appears to be the interpretation.

"SEAI is offering grants of up to €5,000 for a Battery Electric Vehicle (BEV) or a Plug-in Hybrid Electric Vehicle (PHEV) purchased and registered in Ireland. The grant is accessed via an approved EV Dealer. It is not possible to obtain the SEAI Grant for used cars that are being imported as one condition of the scheme is that vehicles must not have been registered previously in Ireland or in any other jurisdiction."

Soarer

The SEAI grant is a different yoke altogether. They'll only allow that on new cars bought through main dealers here. Jobs for the boys basically. If they were interested in cleaning the place up, it'd be on new registrations, and they'd allow people to bring them in cheap from the UK.

With a hybrid/PHEV, you get a reduction in VRT. Think it's €2250 if the car is less than two years old. See attached screengrabbed from the Revenue website.

I did a quick calculation for a 2012 Prius there. Revenue have the OMSP set at €18693, and the VRT rate at 15%. Basic maths will tell you that should work out at €2803, but because the car is 4 years old and is due a €900 "discount", the VRT payable is shown as €1904.

If I remember correctly, your GTE came in at around €4k, and that was exactly 14% of the OMSP or whatever. But according to the table attached, there should've been €2250 knocked off that.

Hope all that makes sense.

damo642

Soarer, just to clarify, are you saying if I import the Gte that the tax will be 4000 minus 2250 =1750

cros13

damo642 wrote: »

Soarer, just to clarify, are you saying if I import the Gte that the tax will be 4000 minus 2250 =1750

Yes, the VRT credit (2250 on vehicles up to two years old) is a completely separate thing from the SEAI grant (which only applies to new vehicles bought in Ireland from registered dealers).

Your UK GTE has already had the UK plugin grant of £5000 taken off at the first sale.

damo642

cros13 wrote: »

damo642 wrote: »

Soarer, just to clarify, are you saying if I import the Gte that the tax will be 4000 minus 2250 =1750

Yes, the VRT credit (2250 on vehicles up to two years old) is a completely separate thing from the SEAI grant (which only applies to new vehicles bought in Ireland from registered dealers).

Your UK GTE has already had the UK plugin grant of 5000 taken off at the first sale.

Just to be crystal clear should i take the 4000 and subtract 2250 from it which is 1750. Please confirm total vrt will be 1750

Soarer

Can't confirm anything relating to Revenue, as they're a law onto themselves.

But using all the info you've given, plus the table I gave earlier, it certainly seems like the €2250 rebate for buying a PHEV isn't being subtracted from your vrt quote.

Now whether you want to draw their attention to it beforehand and give them a chance to adjust it (maybe up, maybe down), or go ahead with the purchase and argue it afterwards, is up to you.

To my mind, the vrt should be €1750.

damo642

You have been very helpful. I now understand the revenue procedure. They definitely have a mistate on their vrt calculator for the GTE which I can point out / appeal. Thanks!

cros13

One question is what is the OMSP for the GTE set at? Revenue can pull some strange numbers out of their arses.

Soarer

Think it was around €38k or something like that.

BoatMad

Soarer wrote: »

The SEAI grant is a different yoke altogether. They'll only allow that on new cars bought through main dealers here. Jobs for the boys basically. If they were interested in cleaning the place up, it'd be on new registrations, and they'd allow people to bring them in cheap from the UK.

With a hybrid/PHEV, you get a reduction in VRT. Think it's €2250 if the car is less than two years old. See attached screengrabbed from the Revenue website.

I did a quick calculation for a 2012 Prius there. Revenue have the OMSP set at €18693, and the VRT rate at 15%. Basic maths will tell you that should work out at €2803, but because the car is 4 years old and is due a €900 "discount", the VRT payable is shown as €1904.

If I remember correctly, your GTE came in at around €4k, and that was exactly 14% of the OMSP or whatever. But according to the table attached, there should've been €2250 knocked off that.

Hope all that makes sense.

I don't think grants should be available on imports at all personally , it distorts the market