Post brexit vrt

neiljitsu

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Hello men,

I was down in my local bike shop at the weekend and he had a few bikes on uk plates. He has them all booked in for vrt before January.
He was saying vrt next year will be usual cc based plus import duty of 30% on market value.
I had a look online but I didn't find anything. Does anyone here know what the story will be?



Sent from my COR-L29 using Tapatalk
 
I didnt think there was an increase on duty, but imports will be liable for vat i believe
 
I don't think there are many that know with certainty how it is going to pan out post Brexit, maybe a couple of folk in DOT or Revenue that are sworn to secrecy.

No one in the car world seems to know, but reasonable to assume Irish motorist will get screwed.
 
Hi Guys,

I work in the motor trade so I'm reasonably up to speed on this!
There are a few issues here so I'll try to shed some light!

VRT
There are no changes to VRT on bikes that I'm aware of - the existing cc based system remains. There are far reaching changes to VRT on cars however as introduced in the last budget. The number of bands has been increased to 20 and the range is now from 7% to 37% of the open market selling price (OMSP). This is a value set by Revenue and NOT the price you pay for it.
I won't bore you all with the implications of these changes for passenger cars as this is a bike forum, but suffice to say that larger, especially automatic and diesel vehicles are getting hammered. As an example a 2017 Vovlo XC90 I have will see an increase in VRT of approx €4,000!!

Tariffs
Yet to be clarified but will depend on the outcome of the "deal or no deal" negotiations!
In the event of no deal being agreed the World Trade Organisation tarrifs will apply to all imports into ROI after January 1st 2021. I haven't looked up the rate on bikes but I'm assuming it's 10% as with cars.
If our political buddies agree on a deal then this will almost certainly not apply.

VAT
This is the show stopper!
Post January 1st 2021, all vehicles imported from Great Britain will have VAT applied to the purchase price. This will obviously increase the cost of the vehicle \ bike by 21%. My understanding is that this will not apply to imports from Northern Ireland where the vehicle was in the North prior to January 1st 2021. However, any vehicle taken from Mainland GB to Northern Ireland post January 1st and subsequently imported into ROI will have VAT applied to it.

As an aside, anyone who currently has a UK registered vehicle in ROI would need to get it registered quickly! If you don't then the new rates of VRT will apply from January irrespective of whether you can prove you bought it prior to then. If you can't prove you imported it prior to January 1st 2021 (you'll need an invoice and a shipping docket) then the dreaded VAT and possibly a tariff will apply.

Hope that helps! The bottom line is that pretty much everything will get dearer to import - by how much depends on what it is and ultimately what happens with Brexit negotiations.
 
macker1974 said:
.......anyone who currently has a UK registered vehicle in ROI would need to get it registered quickly! If you don't then the new rates of VRT will apply from January irrespective of whether you can prove you bought it prior to then. If you can't prove you imported it prior to January 1st 2021 (you'll need an invoice and a shipping docket) then the dreaded VAT and possibly a tariff will apply.....
Click to expand...

Good advice - if you fancy buying a 2 wheeled Christmas present now would be a good time
 
macker1974 said:
Hi Guys,

I work in the motor trade so I'm reasonably up to speed on this!
There are a few issues here so I'll try to shed some light!

VRT
There are no changes to VRT on bikes that I'm aware of - the existing cc based system remains. There are far reaching changes to VRT on cars however as introduced in the last budget. The number of bands has been increased to 20 and the range is now from 7% to 37% of the open market selling price (OMSP). This is a value set by Revenue and NOT the price you pay for it.
I won't bore you all with the implications of these changes for passenger cars as this is a bike forum, but suffice to say that larger, especially automatic and diesel vehicles are getting hammered. As an example a 2017 Vovlo XC90 I have will see an increase in VRT of approx €4,000!!

Tariffs
Yet to be clarified but will depend on the outcome of the "deal or no deal" negotiations!
In the event of no deal being agreed the World Trade Organisation tarrifs will apply to all imports into ROI after January 1st 2021. I haven't looked up the rate on bikes but I'm assuming it's 10% as with cars.
If our political buddies agree on a deal then this will almost certainly not apply.

VAT
This is the show stopper!
Post January 1st 2021, all vehicles imported from Great Britain will have VAT applied to the purchase price. This will obviously increase the cost of the vehicle \ bike by 21%. My understanding is that this will not apply to imports from Northern Ireland where the vehicle was in the North prior to January 1st 2021. However, any vehicle taken from Mainland GB to Northern Ireland post January 1st and subsequently imported into ROI will have VAT applied to it.

As an aside, anyone who currently has a UK registered vehicle in ROI would need to get it registered quickly! If you don't then the new rates of VRT will apply from January irrespective of whether you can prove you bought it prior to then. If you can't prove you imported it prior to January 1st 2021 (you'll need an invoice and a shipping docket) then the dreaded VAT and possibly a tariff will apply.

Hope that helps! The bottom line is that pretty much everything will get dearer to import - by how much depends on what it is and ultimately what happens with Brexit negotiations.
Click to expand...

Double VAT ie VAT paid this side of the water then again in the ROI doesn't seem right. I thought there were laws over here which prevents double taxation but may be wrong. I was pissed off having to pay Stamp Duty on commercial building values which included VAT which is in itself double taxation.
 
SteveC10 said:
Double VAT ie VAT paid this side of the water then again in the ROI doesn't seem right. I thought there were laws over here which prevents double taxation but may be wrong. I was pissed off having to pay Stamp Duty on commercial building values which included VAT which is in itself double taxation.
Click to expand...

Yes Steve but the law relating to double taxation is an EU law. After January 1st this no longer applies to trade in and out of GB unfortunately as GB is no longer in the EU...
 
macker1974 said:
Yes Steve but the law relating to double taxation is an EU law. After January 1st this no longer applies to trade in and out of GB unfortunately as GB is no longer in the EU...
Click to expand...

I thought your post said that vehicles imported into the ROE were subject to VAT even if they were not new which would mean VAT had bee paid on them in the country they'd come from. That would mean the second charge of VAT is in the ROE and not here.
 
Options

There are plenty of other countries in the EU that bikes can be sourced from. In the past I have bought bikes in Germany and Luxembourg. I am currently in negotiations with a Gentleman in Poland and I can get the bike shipped to ROI for €500. The prices in England are competitive but all the bullshit with VAT may price them out of the market. Another option may be Japan. There is some value to be had but shipping takes 6 weeks and cost about €1k.
BF.
 
Talking to a dealer yesterday and he claimed there are no VRT appointments left before 31/12/20. One can only imagine the panic involved here.
 
SteveC10 said:
I thought your post said that vehicles imported into the ROE were subject to VAT even if they were not new which would mean VAT had bee paid on them in the country they'd come from. That would mean the second charge of VAT is in the ROE and not here.
Click to expand...

Yes Steve, the vat is chargeable in the country into which the vehicle is imported. So the vat is payable on the irish side.
 
luke scott said:
Talking to a dealer yesterday and he claimed there are no VRT appointments left before 31/12/20. One can only imagine the panic involved here.
Click to expand...
I've noticed in the last week or so, a lot of my fellow "Sales Reps" in my industry.......driving nice yokes with yellow reg's

I wonder how many will get caught with a Jan or Feb VRT appointment

S20 5G sent this......
 
The extra vat is a pitty but it should only be applied to bikes that were first registered after jan 1st and all bike registered before this had vat paid in an EU country (England was in Europe at time of registration)
 
I am confused, why would you pay vat in the country of origin if exporting it? Before all of the EU vat rules etc, you bought a car in UK tax free got number plates with a red line round them which indicated no tax paid and then had a certain time to export the vehicle.
same for buying vehicles in Germany you bought them tax free and paid tax if applicable on import into uk. Never did an import into the uk but exported several vehicles out of the uk and all purchased vat free
 
In the context of 2nd hand vehicles the UK traditionally offered a good selection of "well cared for" bikes. I have brought a few personally over the years. Obviously with the UK in the EU vat did not arise but vrt (an additional ROI tax) arose. Likely from Jan 1st next vat will be payable here (ROI). It may be possible to claim back some portion of the originally paid UK vat - or it may not? Either way an additional impediment presents as the UK "takes back control".
I have not purchased 2nd hand in Germany but know some who have - in the context of sovereignty the Germans will remain incontinent. :aidan
 
The new post Brexit UK position may well push down used bike prices as the export trade to EU countries will be substantially curtailed due to the additional tax due.
 
probably a really stupid question but is claiming back VAT possible on export from the uk?
In Ireland it is possible to reclaim VRT currently when exporting so wondered if same would be possible post brexit,
Ive bought all my bikes from the uk and alot of my cars too, bit of a sickener tbh
 
roryg said:
probably a really stupid question but is claiming back VAT possible on export from the uk?
In Ireland it is possible to reclaim VRT currently when exporting so wondered if same would be possible post brexit,
Ive bought all my bikes from the uk and alot of my cars too, bit of a sickener tbh
Click to expand...

i would be pretty certain that you couldn't. i can't see any government giving received taxes to a "foreigner" for no gain to them?
 
VAT

A few years ago I purchased a second hand bike in Germany. When it came to paying for it I was asked if I wanted to pay the VAT at German rates 19% at the time from memory, or did I want to pay the VAT in Ireland which was 21%. I paid the cheaper German rate.
Bf.
 
Nippy Normans supply Touratech, Wunderlich, Desert Fox and many other makes of accessories.
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