Commercial SUV

Is it legal to order a standard SUV, (e.g. VW Touareg); have the dealer remove the rear seats, safety belts, etc. in order to make the vehicle commercial as per revenue rules and then purchase for company as a commercial vehicle?

Assuming that the above is legal - After the vehicle has been written off by the company (say after 5 years) then the company sells/disposes of the vehicle. The person/entity buying the vehicle then refits the rear seats and safety belts making the vehicle non-commercial.

Can anyone advise of a link to the revenue rules on this one? Is it possible for a vehicle to be classed as commercial when first registered and then to be changed to a normal passenger vehicle further down the line?

You can certainly buy the a new SUV as a commercial, the dealer can get it converted and register it as a commercial therefore only paying €50 VRT

I'm sure if you do what you're proposing, whehn you add back the seats etc and rescind the commercial status, you might then be liable for VRT.

Yes, also you would need to change your insurance from commercial

My question is simply can one change a vehicle from commercial to passenger?

If one can, then what is the situation as regards payment of VRT? Would one have to pay the VRT on the current open market valuation of the passenger vehicle?

I'm not sure about changing back to passenger but it might be worth your while buying in the North and importing it to avoid the VRT. Friends of mine bought two new Audi jeeps. I think they cost about 80k here but are only 50k (when coverted to euros) in the North. Anyway, they bought them and then paid the €50 for importing them as commerical vehicles. They managed to save themselves - and their business - €60k.

You can change the class of a vehicle from commerical to private using Form RF111 Change of Particulars at your motor tax office. You have to surrender the Vehicle Licensing Cert & Tax Disc.

I have no idea about subsequent liability for VRT.

If you can depreciate in on the company books-why convert it in the first place? Altenatively you could buy a 5 yr old SUV. If you want to proceed you need to contact your local VRO office to ask them-they will tell you. It seems that there has to be some claw back otherwise lots of people would be buying these vehicles second hand in the UK and doing this.
I brought in a vehicle which I bought in Switzerland tax free while working there and had to produce lots of paperwork to avoid paying VAT and VRT here.

noelc said:

My question is simply can one change a vehicle from commercial to passenger?

If one can, then what is the situation as regards payment of VRT? Would one have to pay the VRT on the current open market valuation of the passenger vehicle?

Click to expand...

no is the simple answer

the alterations are done before the jeep gets to the dealer and the mounts for the back seats are cut off to stop the seats being refitted again

I think you will have to pay VRT if you change your vehicle to a passenger vehicle. I made enquiries a number of years ago about changing a car/van to a car (i.e.: putting windows & seats in) and was told a would have to pay VRT on the market value. I didnt do it .

I'm not sure about changing back to passenger but it might be worth your while buying in the North and importing it to avoid the VRT. Friends of mine bought two new Audi jeeps. I think they cost about 80k here but are only 50k (when coverted to euros) in the North. Anyway, they bought them and then paid the €50 for importing them as commerical vehicles. They managed to save themselves - and their business - €60k.


AAA1,

what is the situation then in relation to VAT reclaim. for instance if you buy the commercial ssuv sown eher for business purposes you can reclaim the vat.because it is northern ireland so you just not pay the vat in the first place or can you reclaim after??

VT