Revenue seize three high value vehicles worth €600,000

Earlier this month, Revenue seized three high value vehicles with a combined second-hand retail value of almost €600,000, following investigations into suspected VRT offences. These vehicles were registered as commercial vehicles, availing of the lower rate of VRT applicable to same, when they were in fact in use as passenger vehicles. The incorrect registration of these vehicles resulted in a potential loss to the Exchequer of over €186,000 in VRT.

Consumers who are considering purchasing a vehicle are encouraged to check that the correct VRT has been paid before completing any transaction. Whether the vehicle is purchased from a car dealer or imported and registered, it is the vehicle owner’s responsibility to ensure that the vehicle is registered correctly.

Consumers should:

• Check the EU Classification (M1, N1) that is on the vehicle registration certificate (logbook). Passenger vehicles will state M1
• Check the number of seats detailed on the logbook match the vehicle
• Ask for any documentation relation to its original registration.

If a vehicle is a passenger vehicle, it is a criminal offence for the owner to have it registered as a commercial vehicle and pay the lower rate of VRT applicable on same. A person who claims incorrect VAT refunds in respect of such vehicles may also be committing an offence and be liable to prosecution.

Only bona fide commercial vehicles should be registered as N1 on the vehicle registration certificate (VRC) and have VRT paid at the VRT category B rate of 13.3%.

Where certain changes have been made to a vehicle after it has been registered for VRT purposes, the vehicle owner must notify Revenue of the conversion so that the vehicle can be re-assessed for VRT.

Owners are required to complete the Declaration of Conversion form VRTCONV and submit it along with the following supporting documentation:  

• Photographic evidence of the conversion (interior and exterior views)
• A copy of the Vehicle Registration Certificate 
• Invoices or receipts related to the conversion
• SQI declaration where there are any structural changes, such as, in campervan conversions.

Submission can be made online via MyEnquiries, or by post to: 

National VRT Service
Revenue Commissioners
Anne Street
Wexford
Y35 E29K

This requirement applies, for example, where the number of seats, windows or doors in the vehicle has been altered.

If you suspect your vehicle might have been incorrectly registered contact Revenue’s National VRT Service through MyEnquiries or on 01 7383619 for clarification.

These seizures are part of Revenue’s ongoing operations targeting the shadow economy and VRT evasion, including wrongful claims for commercial status in relation to passenger vehicles. Investigations are ongoing.