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Calculating Vehicle Registration Tax

  1. Overview
  2. Applying the tax
  3. Assessing the value
  4. Additional VRT
  5. VAT and Customs Duty
  6. Electric and hybrid vehicles
  7. Nitrogen Oxide emissions
  8. Calculating the NOx charge

Electric and hybrid vehicles

Different levels of Vehicle Registration Tax (VRT) reductions apply to these vehicle types:

  • Hybrid electric on first registration: a vehicle powered from a combination of an internal combustion engine and an electric motor.
  • Plug-in hybrid electric on first registration: a hybrid with a battery that can be charged by being plugged in to the electricity grid.
  • Electric vehicles, including motorcycles: vehicles that are powered exclusively from a battery.

The reliefs outlined below are applied automatically by Revenue at the point of registration in a Centre or on ROS. No additional application forms or requests are required to avail of them. Similarly the VRT calculator incorporates the relief automatically when calculating the estimated tax, if you are researching a qualifying vehicle.

Hybrid and plug-in hybrid

Up until 31 December 2020 the following qualify for a remission or repayment of VRT. Customers should note that a maximum emissions rule applies as outlined below. Vehicles that exceed this threshold will not be granted relief.

  • Passenger cars or commercials (VRT categories A and B) that are hybrid electric vehicles. When the carbon dioxide emissions are less then 81 g/km.
  • Passenger cars or commercials (VRT categories A and B) that are plug-in hybrid electric vehicles. When then carbon dioxide emissions are less then 66 g/km.

To qualify, it must be the first Irish registration and the vehicle must be part of a series.

The following table sets out the remission or repayment amount based on the age of the vehicle being first registered.

Remission or repayment amount based on the age of the vehicle being first registered
Age of hybrid electric vehicleMaximum amount which may be remitted or repaid (hybrid electric)Maximum amount which may be remitted or repaid (plug-in hybrid electric)
New vehicle, first registration €1,500 €2,500
Not a new vehicle, but less than 2 years €1,350 €2,250
2 years or over, but less than 3 years €1,200 €2,000
3 years or over, but less than 4 years €1,050 €1,750
4 years or over, but less than 5 years €900 €1,500
5 years or over, but less than 6 years €750 €1,250
6 years or over, but less than 7 years €600 €1,000
7 years or over, but less than 8 years €450 €750
8 years or over, but less than 9 years €300 €500
9 years or over, but less than 10 years €150 €250
10 years or over Nil Nil

A sample calculation of the VRT chargeable for a hybrid vehicle:

  • Example

    Open market selling price: €20,000

    VRT: €20,000 x 14% = €2,800

    Relief for new hybrid: €2,500

    VRT payable: €2,800 - €2,500 = €300

Electric vehicles and motorcycles

Series production passenger cars or commercial vehicles (VRT categories A and B) that are:

  • powered only by an electric motor
  • and
  • registered before 31 December 2021

are eligible for relief from VRT up to a maximum amount of €5,000.

Series production electric motorcycles are exempt from VRT until 31 December 2021.

Sample calculations of the VRT chargeable for electric vehicles

  • Example A

    Open Market Selling Price: €40,000

    VRT calculated at 14%: €5,600

    Less maximum relief: €5,000

    VRT Payable: €600

  • Example B

    Open Market Selling Price: €30,000

    VRT calculated at 14%: €4,200

    Less relief (up to a max of €5,000): €4,200

    VRT Payable: €0

Next: Nitrogen Oxide emissions

Published: 19 October 2020 Print this page

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