What Is Vehicle Registration Tax (VRT)?

VRT stands for the Vehicle Registration Tax charged on a motor vehicle upon its registration in Ireland. It is paid when the vehicle is registered with Revenue, and the registration number is issued by the State.

Different procedures are undertaken separately for registering used as well as new cars. With the help of a VRT calculator, the daunting task of calculating the tax becomes relatively easy.

Registration of A Used Car:

All registration procedures are done at the National Car Testing Service. These documents are required for the registration of a used car:

1. A certificate that confirms the level of carbon dioxide emissions from the vehicle at the time of its manufacture

2. A certificate that confirms the level of nitrogen dioxide emissions of the vehicle at the time of its manufacture

3. Certificate of foreign registration or deregistration issued by the authorized authority for registration in the other State.

The NCTS will detain all certificates and evidence of pre-registration, and the car owner is required to keep a copy of them before handing the original over to the center.

Registration For New Cars:

A hard copy of the certificate of conformity is required for the registration of new cars. Staff cannot provide any estimates for vehicles that have not yet been presented for any registration.

Additional Documents:

Besides the other documents and certificates mentioned above, these are the additional documents required for verification and registration.

• Driving license or passport to verify the contact details and address of the individual

• An invoice that shows or confirms the date of purchase of the vehicle

• An appropriate VPD from an authentic or authorized motor trader

• Any documentation that will verify the owner’s name and address, like a bill or a statement from the bank; a utility bill, and a statement from the bank is necessary for documentation. Additional proof of identity and authorized letters must be presented if the vehicle is being registered for someone else.

• The person who will be the registered owner must have the PPSN number with official documents for evidence.

• Authorized motor traders must provide their Revenue Customer number at the time of registration.

• An official document showing the date the registered vehicle entered the State – It can be shipping details or documents of travel. Invoices that are more than a month old may require evidence for vehicle storage outside the State.

• If available, the VRT exemption notification is issued by Revenue.

Procedure For Registration:

The vehicle is first verified, and all the documents are checked for authenticity at the NCTS center. Any discrepancies in verification or documentation can result in the vehicle not being registered. Taxes can be paid by debit or credit cards and drafts drawn from the bank.

After the documents are verified and registration is confirmed, a registration number will be issued after the tax payment. In 2018, about 100755 vehicles were imported into Ireland, mainly from the UK, as it decided to leave the European Union.

The Vehicle Registration Tax And How It Is Applied:

There are five categories to this tax that are linked to various European type approval. They are category A, category B, category C, category D, and category M.

Category A is for passenger vehicles like car and minibusses (the minibusses carrying not more than eight passengers, including the driver)

Category B is for commercial vehicles that are designed to carry goods and materials not exceeding 3.5 tonnes. The vehicles don’t usually have more than three seats. Motor caravans are also included in this category.

Category C are larger commercial vehicles like tractors and buses and include vehicles that are more than 30 years old at the time of registration.

Category D includes vehicles exempted from paying the VRT like ambulances, fire engines, sweeping and refuse cars and road rollers, and all vehicles used for the utility and transportation of road construction types of machinery.

Category M consists of motorcycles where the VRT is based on the cubic capacity of the engine of the motorcycle.

Calculation Of VRT:

Calculating VRT with a VRT calculator is much easier than determining it based on its selling price in the open market. The Revenue then decides the tax rate on registration depending upon this selling price.

An additional VRT may be charged for vehicles not registered within 30 days. Extra charge for customs duty is also applicable for vehicles that are imported from other countries.

However, tax reductions apply to vehicles such as electric vehicles and hybrid vehicles where no additional forms are required to avail these reductions. Depending on different factors, the Vehicle Registration Tax Rates can change with the latest Revenue changes on official government websites.