u/GoodNegotiation

This comes up quite a bit and there is some great knowledge in the sub about what works and what does not, but it's all buried in threads. So this sticky is an effort to get everything in one place, and ideally accurate so please tell me where improvements are required!

Guess I don't need to say it, but the language and formatting was created with the help of AI.

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Start here and work through this in order:

• Is the car <6 months old OR <6,000 km?
  → You will pay Irish VAT and VRT → see New means of transport

• Is the car coming from Northern Ireland?
  → Yes → continue
  → No (GB) → go to Direct GB import

• Is the car already considered in free circulation in the EU (i.e. genuinely used in NI or properly imported into NI)?
  → Yes → go to NI car (free circulation)
  → Not sure → go to NI car sourced from GB

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What “free circulation” means

A car in free circulation in the EU is considered to have already satisfied Customs Duty requirements and so can move to ROI without further Customs Duty.

In practice one of the following:

• Normal NI-used car in private ownership for >6 months → yes
• GB car properly imported into NI → yes
• GB car in NI without proof of appropriate import → treat as a GB import

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Scenario: NI car (free circulation)

Typical NI private sale or long-term NI car from a dealer, provably in private hands for >6 months.

• VAT: No
• Customs duty: No
• VRT: Yes (see VRT section)

Main check: the car is genuinely in NI / already cleared into NI.

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Scenario: NI car sourced from GB

This is where most people get caught.

Everything depends on whether the car was properly imported into NI.

If it was properly imported:

• VAT: No (unless it’s “new means of transport”)
• Duty: No
• VRT: Yes

If it was NOT properly imported (or unclear):

• VAT: 23%
• Duty: 10% (unless relief applies)
• VRT: Yes

What to ask for:

Proof of NI import declaration. Look for:

• “release for free circulation”
• code starting 40xx

Dealers may not send the full document (it shows their cost), but should show the relevant section.

If they can’t → assume GB import.

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Scenario: Direct GB import

You are importing into the EU.

• VAT: 23%
• Duty: 10% (unless relief applies)
• VRT: Yes

VAT in practice:

If UK VAT (20%) is removed:

• You pay Irish VAT (23%)
• Net effect ≈ +3% on the ex-VAT price
• Transport / fees → also 23% VAT

Zero-rating reality:

UK dealers can zero-rate exports. Many won’t (they carry the risk).

Common workarounds:

• Sell to a GB/NI VAT-registered buyer
• ROI VAT-registered buyers sometimes accepted (VAT held as deposit)

Watch for:

• VAT Margin Scheme → no 20% to remove
• VAT qualifying cars → often ex-lease / rental / business / demo

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Avoiding customs duty

Two main routes:

Returned Goods Relief (RGR)

• Car was previously in the EU
• Returned within 3 years
  → Duty = 0%
  → VAT usually still applies

UK origin

• Car meets UK origin rules
  → Duty = 0%
  → VAT still applies
  → You still need a zero-rated export to avoid UK VAT

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New means of transport

If the car is:

• <6 months old OR
• <6,000 km

Then:

• VAT: always due in Ireland (seller would need to zero-rate on export to avoid UK VAT)
• Duty:
  • First registered in NI → usually no (if already in free circulation)
  • First registered in GB → yes (unless relief applies)
• VRT: Yes

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How much do you want to do yourself?

Full service (ROI importer)
Handles everything → car arrives on Irish plates
Lowest risk, highest cost

NI dealer route
Often sourcing from GB
You must verify import status + do VRT
Risk if paperwork is wrong

GB exporter (trade-assisted)
They buy + export → you handle VAT + VRT

Dealer optimisation (advanced)
Some ROI dealers route GB cars via NI
Use NI procedures to avoid 20% → 23% VAT stacking
VAT reclaim schemes also exist (dealer territory)

DIY
Cheapest, highest risk

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Documents to get before buying

• V5C
• Invoice (VAT treatment clear)
• NI import proof (if applicable)
• Proof of origin (if claiming duty relief)

If unclear → assume worst-case tax.

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VRT (read this)

You always pay VRT.

It is based on Revenue’s valuation, not what you paid.

• Revenue estimates a new OMSP
• Applies depreciation (age, mileage, model)
• Result = Current OMSP

You pay VRT on that.

EVs:

• 7% rate
• Relief up to €5k
• Full relief ≤ €40k
• Tapers to €0 at €50k

Use the Revenue calculator, but expect adjustments.

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What about warranty?

Most manufacturer warranties are pan-European. However there can be additional years added that are only valid in some territories (eg. base manufacturer pan-European warranty 3 years + local importer 2 years) and the likes of dealer/third-party warranties are highly unlikely to apply in ROI. Bear in-mind that in an absolute worst case scenario you can ship the car back to NI/GB to avail of warranty.

• BMW: Standard manufacturer warranty pan-European, extended warranties possibly not
• Hyundai: Pan-European
• Kia: May operate split warranty with first few years being manufacturer pan-European. Maybe somebody knows?
• Tesla: Pan-European
• Volkswagen Group (VW / Audi / Skoda): Pan-European
• Volvo: Pan-European

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Common mistakes

• Assuming NI = no tax
• Not checking free circulation
• Confusing VAT qualifying vs margin scheme
• Missing “new means of transport”
• Trusting dealer without documents
• Underestimating VRT

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Final rule

If you can’t clearly answer:

> Is this car already in free circulation, or am I effectively importing it from GB?

…then price it as a GB import.

Thanks to the likes of u/lintdrummer and u/StillyDan4 who answered some of my queries about their import experience over the last few weeks.