VRT on imported cars - is it legal?

[RMCF]

I live near the border with NI and see an awful lot of home-owners who have nto converted their cars over to a RoI plate.

Recently there has been high profile Customs clampdowns, with cars being confiscated. Also recently they appeared in my estate and were giving out warnings to owners to get their cars re-registered.

My question comes after reading an article in a local paper about the operations. It said that the legality of the VRT was being questioned. And I have also heard (perhaps urban myths) from some affected people that there are Euro court cases pending, and the fact that the EU Parliament has told Ireland that it shouldn't be charging VRT.

Does anyone know if there is any truth in these rumours? Is VRT totally legal? Apparently only Ireland and Sweden charge it?

btw I own a DL car so only asking for information purposes.

 

[RonanC]

The EU ruled in 2002 that aspects of the VRT system is a form of double taxation and is illegal under the EU treaty.

The EU also called for an abolition of VRT and said that member states should ensure that their VRT systems did not discriminate by imposing a double taxation burden on motorists importing second hand cars from other member states.

Seven years later and its still the same !!

 

[Frank]

the fact that they put VAT first then VRT on the new total is a beauty.

Tax on Tax genius.

Free market my eye.