Lads,
I need a bit of advice - this is wrecking my head.
I'm thinking of buying a car, it's a UK reg so I'll have to pay the VRT. The price of car seems a real bargain, it's €3k under market value.
But the VRT on it at the moment is 30%.
I checked what the VRT will be in July (http://www.sei.ie/app_trs_search.asp) and it will be 20%. So the VRT will be approx €2100 cheaper in July.
Should I wait until July or buy now??
Will the car prices go up in July as demand rises for diesel cars because of their lower emissions?
???
You're better off buying petrol cars now and diesel cars post July, it's also thought unlikely that manufacturers will be able to increase prices for no reason in July (but you'd never be surprised at what they'll get up to). It's not just the VRT to consider, you've also got to take into account the road tax (and subsequently sell on value) as the car will be locked into whichever road tax regime it starts its life in the Free State in.
For example:
For example a driver of a 1.9L diesel car with emissions of 140 purchased in 2007 will have to pay motor tax of €511 p.a, the 2008 model (purchased post July) will cost €150 p.a, that's a difference of €361 p.a. - over the car's life of say 10 years, that'll cost €3600, of course this will be reflected in the resale price straight away, thus if the same car of exactly the same age were to imported from the UK and taxed in July 2008, the irish originating model (or UK car taxed pre-July) would command a price of between €3K and €4K less than post July registered model.
Go to www.askaboutmoney.com and in there is a section dedicated to motoring related issues which discusses VRT in detail and may answer most of your queries.
Quote from: Tubberman on January 16, 2008, 10:52:16 AM
Lads,
I need a bit of advice - this is wrecking my head.
I'm thinking of buying a car, it's a UK reg so I'll have to pay the VRT. The price of car seems a real bargain, it's €3k under market value.
But the VRT on it at the moment is 30%.
I checked what the VRT will be in July (http://www.sei.ie/app_trs_search.asp) and it will be 20%. So the VRT will be approx €2100 cheaper in July.
Should I wait until July or buy now??
Will the car prices go up in July as demand rises for diesel cars because of their lower emissions?
???
Can't see the prices of Uk cars rising too much if any because of a change in our Vrt system Tubberman
What is VRT?
Vehicle Registration Tax
Ta
Thanks lads, ye've just saved me a nice packet! :o
The tax would be €590 pa on the car if I bought now, and only €290 pa after July.
And the VRT would be €2100 cheaper then too.
I've told the guy I'm not interested any more. I was about to hand over the money today - christ....
They should really publicise all these changes a bit more, or maybe I should have done my research a bit better. Think I got a bit over-eager :)
What make of car is it tubberman?
It's a BMW 320D - damn nice it is too :D
But it will have to wait a while I'm afraid - I'll go on the hunt again around July for a Northern/UK car so I get the new tax rate
You do know that the car has to be registered new to make use of the changes? Second-hand cars don't count.
The new VRT and tax rates apply to second hand cars as well if they're brought in from outside the Republic after 1st July.
http://www.rte.ie/business/2007/1206/budget2.html
Quote
Motor tax for cars with high emissions is to increase dramatically under new measures announced by Environment Minister John Gormley.
Cars with the lowest emissions will be charged only €100, but cars in the top band will be obliged to fork out €2,000. There will be seven bands. The measures for new cars will come into force on July 1.
When these measures are included with the changes to VRT announced yesterday, buying and maintaining a gas guzzler will be an expensive as well as a dirty business.
The Minister said these new car tax rates will apply only to new cars and to cars being registered for the first time in the Republic.
Existing cars will continue to be taxed on the present system, which is based on engine sizes. In his Budget speech yesterday, the Finance Minister announced that tax rates for cars with engines under 2.5 litres are going up by 9.5% while the tax on cars with larger engines goes up by 11%.
Aye, I was getting a bit mixed up. It's the road tax I was thinking of.
Quote from: Star Spangler on January 16, 2008, 03:03:32 PM
Aye, I was getting a bit mixed up. It's the road tax I was thinking of.
the new road tax will also apply on second hand cars which are being registered for their first time in the republic.
Quote from: shotstopper1 on January 16, 2008, 03:17:36 PM
Quote from: Star Spangler on January 16, 2008, 03:03:32 PM
Aye, I was getting a bit mixed up. It's the road tax I was thinking of.
the new road tax will also apply on second hand cars which are being registered for their first time in the republic.
Is it? That has the potential to murder the second hand car market. The Misusses car tax is almost €800 but if it had been registered after July it would be €150. That's a big consideration when changing motors.
If a freestate car has 7 years life left in it and if it is going to be €500 cheaper per year in road tax, then it will definitely end up worth a couple of grand less than an import that is entitled to lower tax.