Importing from the UK post Brexit

[dergside]

This is the best document I've found so far on the situation post Brexit for importing from the UK and NI.

There are a couple of interesting points in it. A Customs declaration will be required and, despite the agreement, it looks like a significant proportion of cars will be subject to a Customs Duty of 10%. VAT will be charged on all incoming cars regardless of the VAT status on the export. In order to try and use routing a car through NI to avoid Customs Duty it will require that if the car is coming from the UK first, then it will have to be fully registered in NI, with a reg document issued to an NI business or address, before being imported to ROI. It looks like there probably isn't any noticeable difference in how a car from NI is treated for VAT compared to a similar car from the UK.

https://www.revenue.ie/en/importing-...les/index.aspx

I reckon it will take 6-12 months for importers to figure out what "works" in the new circumstances and for the market prices here to stabilize in terms of price levellling to reflect the changes. There may be an advantage to buying Jaguars rather than BMW's.

[DaveMsport]

So from what I gather is every car form UK is 10% + 21%

Cars registered in NI before brexit have no charge

And cars registered in NI after brexit have 21%?

[318 iS Cosmos]

So from what I gather is every car form UK is 10% + 21%

Cars registered in NI before brexit have no charge

And cars registered in NI after brexit have 21%?

Spot on apart from UK car manufacturers. They won’t incur the 10% customs duty. So as Diarmuid said, this could make Jags a bit cheaper!


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[JohnH]

Spot on apart from UK car manufacturers. They won’t incur the 10% customs duty. So as Diarmuid said, this could make Jags a bit cheaper!


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Unless it’s a jag made in Austria that has been imported to the uk first

[Ketron]

So from what I gather is every car form UK is 10% + 21%

Cars registered in NI before brexit have no charge

And cars registered in NI after brexit have 21%?

So would I be correct in saying that I can still purchase a secondhand car from NI and the VRT process and charges will be the same as prior to brexit?

[kdevitt]

It looks like there probably isn't any noticeable difference in how a car from NI is treated for VAT compared to a similar car from the UK.

I think there's a significant difference, no?

- No customs checks on any car first registered in NI - no vat or duty
- No customs checks or charges on an original UK car registered in NI prior to 2021 - no vat or duty
- No VAT or duty on a UK car imported after 01.21 if the proof of import is there and its been registered to a NI owner/ business

VAT is then only charged on a new car (new car for VAT purposes), or an original UK car imported to NI without any evidence of import. I'm still eagerly awaiting someone challenging VAT and duty being required on a UK car originally registered before 2021 - as it was an EU cleared car a that stage. I can't see too many people opting to import from the UK going forward though.

[DaveMsport]

It'll be really interesting to see if anybody challenges the idea of pre brexit cars already having the EU duties paid. In theory, it should be clear as day but will have to see.

Be brilliant if there's a precident made of it as I don't think any car after '20 will interest me anyway

[dergside]

Ken

Some of this stuff isn't entirely clear yet, and open to interpretation until custom and practice is established, but I'm not sure I'd read the info at the URL, below, in the way that you've described in your first point. My reading of it is that even cars coming from NI will require a Customs declaration (NCTS will check that one has been completed at VRT inspection), although it looks like there won't be a charge to Customs Duty if the car has been properly registered in NI, whether originally, or having originated in the other parts of the UK.

I'm not reading it to say that VAT won't apply to a car coming from NI, so if you've read it on this link, or another, I'd be interested to read it.

On your third point, I agree on the duty part, but not clear on the information to support the VAT aspect, so if you have a link to a source or info on that I'd appreciate it.

So far though, especially if your view on VAT is correct, it appears that the most advantageous thing you could do now is buy a British built car that is NI registered. Now, if only BMW built more in the UK than just MINI's

https://www.revenue.ie/en/importing-...om-the-uk.aspx

[kdevitt]

I think you firstly need to consider that the customs border now sits in the middle of the Irish Sea. I've read quite a few of the revenue.ie publications

From https://www.revenue.ie/en/customs-tr...n-ireland.aspx

If a vehicle is being imported from Northern Ireland, no import duty will apply but you may be liable to pay:

Vehicle Registration Tax (VRT)
VAT at 21% (only in respect of new vehicles).

The new vehicle definition is same as before - literally anything with less than 6,000 on it. Anyway, in the initial link you posted - it carves out NI Used cars here as being exempt from customs checks -

Vehicles registered in Northern Ireland before 1 January 2021
You can register a vehicle registered before 1 January 2021 without any checks on the customs status if it was registered:

in Northern Ireland
or
to a person resident in Northern Ireland.

So any car bought from NI which was imported there before Brexit can be bought without any customs checks - and bearing in mind the customs checks are purely to see if VAT or duty is applicable, there are no fees others that VRT.

Vehicles first registered in Northern Ireland after 1 January 2021
You can register a vehicle first registered in Northern Ireland after 1 January 2021 without any check on its customs status. If it is a new vehicle for VAT purposes, then the VAT is collected at registration.

This carve out is for used cars which were first registered in NI - so excludes cars imported from the UK, and again no customs checks.

And then it gets slightly messy

Vehicles first registered in Great Britain and subsequently registered in Northern Ireland after 1 January 2021
Proof that vehicles were properly imported into Northern Ireland will be required for vehicles first registered in Great Britain and subsequently, after 1 January 2021, either:

registered to a private individual or a business in Northern Ireland
or
sold by a motor dealer with an address in Northern Ireland.
Proof will be in the form of:

a copy of the customs declaration showing the importation of the vehicle into Northern Ireland
or
a T2L document issued by HMRC.

If you can't provide the details requested, then at that stage you need to pay VAT - these cars are VAT free however if you can provide the required info.

Theres a decent enough summary here too - https://fexco.com/fexco/news/importi...uk-to-ireland/

Other thing is though - under the origin rules I don't think anyone is any the wiser as to whether a single UK build car is considered to be a UK product.

[kdevitt]

Response on another forum yesterday -

Brought in a MK1 Mini GP from NI on the 12/01/21. No Vat/duty charged as expected. Ended up being €22 more expensive in Jan as it was in Dec due to it now being 37% vrt instead of 36%. Stunned & Chuffed!