Importing from the UK - definitive guide (Q and A)

Isambard

newmember? wrote: »

So you're saying, regardless when the vehicle is brought into NI, once I can get it registered there I won't be liable for VAT when I bring it down South? Surely if that was the case we'd have agents registering vehicles in NI to beat the band and charging a small fee to anyone needing to import from the UK?

eventually that might be the case, but he'd have to convince Revenue that it wasn't just a stroke to avoid tax. Obviously a car genuinely imported into NI from GB will at some stage be seen as an NI car, but no one knows how that will pan out yet. His car could be held by Customs for a long time whilst it is sorted out.

Car99

Anyone know the process as a private individual to claim back UK VAT on a vat qualifying car once you export it?

mickdw

Car99 wrote: »

Anyone know the process as a private individual to claim back UK VAT on a vat qualifying car once you export it?

Dont pay it to start with - i believe there is a process to buy that way.

Isambard

mickdw wrote: »

Dont pay it to start with - i believe there is a process to buy that way.

i think that's the only way. You can't claim back VAT someone else paid

spuddy

Isambard wrote: »

...Obviously a car genuinely imported into NI from GB will at some stage be seen as an NI car...

What leads you to think that?

Car99

mickdw wrote: »

Dont pay it to start with - i believe there is a process to buy that way.

I see . A small uk dealer has a vat qualifying car for sale. He wont sell me the car without the vat but he said I can claim it back if I was UK VAT registered . I guess he could sell me the car ex VAT for export but he doesnt want the hassle. I do know some used car dealers will sell ex Vat for export but I suppose they have the extra hassle priced in to the car .

deezell

Car99 wrote: »

I see . A small uk dealer has a vat qualifying car for sale. He wont sell me the car without the vat but he said I can claim it back if I was UK VAT registered . I guess he could sell me the car ex VAT for export but he doesnt want the hassle. I do know some used car dealers will sell ex Vat for export but I suppose they have the extra hassle priced in to the car .

You've just said it. The process exists, but they can't be arsed. Same as some simply refuse to hand over V5 and just submit the export slip to the dvla.

Isambard

spuddy wrote: »

What leads you to think that?

my brain mostly

Isambard

Car99 wrote: »

I see . A small uk dealer has a vat qualifying car for sale. He wont sell me the car without the vat but he said I can claim it back if I was UK VAT registered . I guess he could sell me the car ex VAT for export but he doesnt want the hassle. I do know some used car dealers will sell ex Vat for export but I suppose they have the extra hassle priced in to the car .

Yes they would have to account for the VAT which would hit their cashflow. They want you to pay it and then reclaim it so they can have it in their accounts fttb.

Marcusm

Isambard wrote: »

Yes they would have to account for the VAT which would hit their cashflow. They want you to pay it and then reclaim it so they can have it in their accounts fttb.

He would not have to pay the VAT to HMRC if he zero rates it for export. He would have paid VAT on acquisition which he would have recovered on his next VAT return (monthly or quarterly).

deezell

Marcusm wrote: »

He would not have to pay the VAT to HMRC if he zero rates it for export. He would have paid VAT on acquisition which he would have recovered on his next VAT return (monthly or quarterly).

But if you pay it, and he zero rates for export, he can trouser it. You'd have no hope of recovering it from HMR as they know it's exported, their accounts are in order, and it would be up to you to get it back from the dealer. Good incentive for the dealer to try it on.

mickdw

deezell wrote: »

But if you pay it, and he zero rates for export, he can trouser it. You'd have no hope of recovering it from HMR as they know it's exported, their accounts are in order, and it would be up to you to get it back from the dealer. Good incentive for the dealer to try it on.

That would be outright vat fraud by dealer. If the buyers pays vat on a vat qualifying car, they will be getting a vat receipt to reflect that. A dealer fhen returning it as a zero vat export to revenue would be caught pretty quick.
Plenty main dealers were insisting vat had to be paid then reclaimed. There is no way they were all engaged in vat fraud, more a case of keeping things simple i think.

newmember2

Car99 wrote: »

Anyone know the process as a private individual to claim back UK VAT on a vat qualifying car once you export it?

The time I did it I paid the seller the VAT and then got the DVLA to issue a Certificate of Permanent Export and presented it to the seller who then refunded the VAT. This was 10 years ago, with those certs being discontinued I'd imagine best way is not pay in the first place but if already paid I'm assuming there's some way, maybe contact HMRC.

User1998

It won’t be worth importing if you pay the VAT and reclaim it, because your VAT here will be much higher. Example:

UK invoice states £10,000 including VAT (€11,700)

You then pay 10% customs and 23% VAT here, based on the invoice selling price

€1,170 and €2,960

And then you get the VAT refund a few months later of £1,333 (€1,560) (20% of £10,000)

So the total you pay is (€11,700 + €1,170 + €2,960) - €1,560 = €14,270

Compared to

UK invoice states £8,333 with no VAT (€9,735)

You then pay 10% customs and 23% VAT

€973 and €2,462

So the total you pay is €9,735 + €973 + €2,462 = €13,170

So realistically paying the VAT and then reclaiming it is a non runner in my opinion

Car99

I was looking at a 2016 A4 Avant ultra sport 150 84kmiles FSH 1 owner trade sale for about £8000 . Nox 100mg .

€9280 purchase price plus €480 for delivery to Ireland. €9760 total .
Import duty 10% €976
VAT 23% of €9760 + €976 = €2470
Total €13205
ROS VRT calculator €3824
NCT plus plates plus 12 months tax €300
€17329

My cheap 8K stg car travels across the Irish sea and becomes a €17300 car with no warranty and that is for a car with a Euro 6 adblue engine .

Same car here is retailing with independant dealers for about €17k .

Vicxas

What about seeing if the north has one?

Car99

Vicxas wrote: »

What about seeing if the north has one?

Over the years I found the English cars to be quality used car stock than NI .

User1998

Car99 wrote: »

I was looking at a 2016 A4 Avant ultra sport 150 84kmiles FSH 1 owner trade sale for about £8000 . Nox 100mg .

€9280 purchase price plus €480 for delivery to Ireland. €9760 total .
Import duty 10% €976
VAT 23% of €9760 + €976 = €1025
Total €11761
ROS VRT calculator €3824
NCT plus plates plus 12 months tax €300
€15884.

My cheap 8K stg car travels across the Irish sea and becomes a €16000 car with no warranty and that is for a car with a Euro 6 adblue engine .

Same car here is retailing with independant dealers for about €17k .

Your calculation is wrong

€9760 x 10% = €976
€9760 + €976 = €10,736
€10,736 x 23% = €2,470
Total €13,205
VRT €3824
NCT TAX €300
Customs broker €150
Total €17,480

Marcusm

deezell wrote: »

But if you pay it, and he zero rates for export, he can trouser it. You'd have no hope of recovering it from HMR as they know it's exported, their accounts are in order, and it would be up to you to get it back from the dealer. Good incentive for the dealer to try it on.

Oh Jesus, only an idiot would pay it at this stage. If the invoice is issued without VaT then there is nothing to pay and nothing to recover. If an invoice is issued inclusive of full VAT (not margin scheme) then that is the instrument which can be used to effect a recovery where possible but it is highly inadvisable.

Car99

User1998 wrote: »

Your calculation is wrong

€9760 x 10% = €976
€9760 + €976 = €10,736
€10,736 x 23% = €2,470
Total €13,205
VRT €3824
NCT TAX €300
Customs broker €150
Total €17,480

My bad I dont know what figure I used to end up up at my 23% vat total . Cheers. And I did forget about customs broker . Thanks again.

0lordy

Weird one here. I brought my car in December past. Didn't get it inspected until January (no inspection slots). It took 6 weeks to get a fee from Revenue (long story) and when I did, it was a massive €7,300, about €2K over what I expected.

I've appealed it, of course, but that's taking another couple of weeks. They are looking for evidence that I tried to get it inspected last year. I've supplied that, but said that's not the point, the incorrect rate is being applied, at 31%.

Can someone sanity check this for me? The CO2 value on the V5 is 125g/km. The WLTP equivalent is 149.8915 (petrol), which should result in a VRT rate of 21%. Unless I'm missing something...

Luckylow10

It looks like could have calculated ur wltp equivalent of 149 but used it on the old nedc rates and not the new wltp rates..

https://www.vrt.ie/faq/compare-2020-vrt-rates-2021-vrt-rates/


I’m having a similar issue, my vehicle is nedc 55 and they adjusted it to equivalent of wltp 81 using their “formula”, but I have provided them with evidence showing the actual WLTP of 73. I’m waiting nearly 2 weeks on a reply in the myenquiries website..

Covid21

Anyone recommend a good customs broker?

I’m getting a car delivered from the Uk next week. It’s my own car, so I’ll be registering it personally.

ZV Yoda

Car99 wrote: »

Over the years I found the English cars to be quality used car stock than NI .

Just to add balance to the discussion, I brought a car in from NI last year. Could not be happier with my purchase from a main dealer. The dealer was fantastic. I gave it a good test drive before I paid the deposit. It was less expensive than the equivalent car on the mainland. Better spec’d too as it happens.

I previously brought from mainland UK. The car was fine, but it was a lot more hassle with plane / ferry.

Moral of the story - do your own research.

Dante

Maybe a stupid question - during the VRT appointment the lad mentioned that I need to send part of the V5C form off to the DVLA to inform them that the car has been permanently exported from the UK. Given they don't give you back the V5C form after completing the VRT process, how are you supposed to send it off?

5500

Covid21 wrote: »

Anyone recommend a good customs broker?

I’m getting a car delivered from the Uk next week. It’s my own car, so I’ll be registering it personally.

MCC Customs brokers - (01) 836 3408

User1998

I don’t think MCC are doing UK cars

User1998

DaaaaaaaaaaN wrote: »

Maybe a stupid question - during the VRT appointment the lad mentioned that I need to send part of the V5C form off to the DVLA to inform them that the car has been permanently exported from the UK. Given they don't give you back the V5C form after completing the VRT process, how are you supposed to send it off?

Don’t mind him you don’t need to send anything

reubenreuben

DaaaaaaaaaaN wrote: »

Maybe a stupid question - during the VRT appointment the lad mentioned that I need to send part of the V5C form off to the DVLA to inform them that the car has been permanently exported from the UK. Given they don't give you back the V5C form after completing the VRT process, how are you supposed to send it off?

That vrt guy should get a different job.

masit

DaaaaaaaaaaN wrote: »

Maybe a stupid question - during the VRT appointment the lad mentioned that I need to send part of the V5C form off to the DVLA to inform them that the car has been permanently exported from the UK. Given they don't give you back the V5C form after completing the VRT process, how are you supposed to send it off?

Dealer should have done that or done it online