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Revenue Operational Manual VRT Section 3

VEHICLE REGISTRATION TAX MANUAL

Section 3

Vehicle Registration TaxManual

Repayment Schemes and Procedures for Processing Repayment Claims

February 2015

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SECTION 3


TABLE OF CONTENTS3.1 Leasing .................................................................................................................................4

3.1.1 Introduction ......................................................................................................................43.1.2 Legislation........................................................................................................................43.1.3 Eligibility Criteria ............................................................................................................43.1.4 Calculation of the Amount of Repayment........................................................................53.1.5 Repayment Process ..........................................................................................................53.1.6 Selection of Applications for Audit .................................................................................8

3.2 Vehicles for People with Disabilities Tax Relief Scheme ...................................................93.2.1 Introduction ......................................................................................................................93.2.2 Legislation......................................................................................................................103.2.3 Relief for a Driver with a Disability (€9,525) ................................................................103.2.4 Relief for a Passenger with a Disability (€15,875) ........................................................113.2.5 Residency Rule...............................................................................................................123.2.6 Organisations for People with Disabilities.....................................................................123.2.7 Limits on Use/Disposal ..................................................................................................133.2.8 Procedure at Revenue Office..........................................................................................143.2.9 Procedure at CRO...........................................................................................................163.2.10 Repayment of Excise Duty on Fuel............................................................................173.2.11 Selection for Audit .....................................................................................................173.2.12 Refusal of Remission/Repayment ..............................................................................183.2.13 Appeals.......................................................................................................................18

3.3 Relief for Certain Electric/ Flexible Fuel Vehicles ............................................................193.3.1 Legislative provisions ....................................................................................................193.3.2 Hybrid Electric vehicles .................................................................................................193.3.3 Plug-in Hybrid Electric vehicles ....................................................................................203.3.4 Electric vehicles .............................................................................................................203.3.5 Electric motorcycle ........................................................................................................213.3.6 Flexible Fuel Vehicles....................................................................................................21

3.4 Claims by Authorised Persons for the Repayment of VRT ...............................................223.4.1 Repayment Calculations.................................................................................................223.4.2 Repayment Procedures ...................................................................................................243.4.3 Repayment where other taxes are outstanding by either the authorised person or first registered owner .........................................................................................................................253.4.4 Monitoring Repayments .................................................................................................253.4.5 Raising a VRT Charge if the repayment is not made to First Registered Owner ..........263.4.6 Frequently Asked Questions ..........................................................................................27

3.5 Export Repayment Scheme ................................................................................................293.5.1 Introduction ....................................................................................................................293.5.2 Legislation......................................................................................................................293.5.3 Links...............................................................................................................................293.5.4 Qualifying Criteria .........................................................................................................303.5.5 Qualifying Criteria – Details ..........................................................................................313.5.6 Documentation Required................................................................................................323.5.7 Claim Forms...................................................................................................................353.5.8 Processing of Claims......................................................................................................363.5.9 Repayment......................................................................................................................373.5.10 Export Repayments for pre 2006 Registrations .........................................................373.5.11 Re-imported vehicles which have previously received an Export Repayment ..........37

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Section 3

Repayment Schemes

This section deals with the procedures relating to the following VRT repayment schemes:

3.1 Leasing

3.2 Vehicles for People with Disabilities

3.3 Hybrid Electric Vehicles, Flexible Fuel Vehicles, Plug-in Hybrid Electric Vehicles, Electric

Vehicles and Electric Motorcycles

3.4 Repayment Claims by Authorised Persons

3.5 Export Repayment Scheme

These repayment schemes are administered solely by the Central Repayments Office (CRO) in line

with VRT repayment policy.

The Central Repayments Office should be contacted at the address below when there is doubt or

difficulty.

Central Repayments Office,

M: TEK II Building,

Armagh Road,

Monaghan.

Email: [email protected]

Phone: Lo-Call 1890 60 60 61 also (047) 62100

FAX: (047) 62196

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mailto:[email protected]

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Leasing

3.1.1 Introduction

This scheme was introduced by the Finance (No. 2) Act, 1992, in order to maintain parity

with the pre-1993 tax position which allowed leasing companies to claim a deduction, under

Part 8, Chapter 1, of the Value-Added Tax Consolidation Act 2010 (as amended), of the VAT

charged on the motor vehicle excise duty which was payable at that time on all vehicles

imported into the State.

VRT legislation provides for the repayment of an amount of VRT in respect of a qualifying

vehicle acquired by a person carrying on the business of leasing vehicles to others or

providing instruction in driving vehicles.

3.1.2 LegislationPrimary: Finance Act, 1992, s.134;

Finance (No.2) Act, 1992, s.10(b).

3.1.3 Eligibility Criteria

3.1.3.1 ApplicantTo be eligible for a VRT repayment the applicant must:

be engaged in one of the eligible activities (see para 3.1.1);

be entitled to a deduction of VAT under Part 8, Chapter 1, of the Value-Added Tax

Consolidation Act 2010 (as amended),, in respect of the acquisition of a vehicle not

registered in the State (including new and used vehicles brought in from aboard);

have paid any tax which is due by him/her by the date of the repayment.

3.1.3.2 VehicleTo be eligible for a VRT repayment the vehicle must be:

at the time of acquisition, a previously unregistered M1 vehicle (Revenue Category

A) or a motor cycle;

purchased outright (including vehicles acquired under hire-purchase agreements)by

the applicant.

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3.1.4 Calculation of the Amount of Repayment

The amount repayable is calculated using the formula,

where R is the rate of VAT chargeable on the acquisition

of a vehicle by the authorised person.

Only one repayment per vehicle can be made under this scheme.

3.1.5 Repayment Process

3.1.5.1 Forms

Form VRT 37 - Declaration to be made for the Purpose of

Claiming Repayment of Vehicle Registration Tax

Form VRT 18A - Advice of Authorised Signatories

Form VRT 18 - Application for Repayment of Vehicle Registration

Tax

Form VRT 18C - Notice of Refusal of a VRT Repayment Claim

Form VRT 18D - Notice of Deduction from a VRT Repayment Claim

Form VRT 18E - Notice of Addition/s to a VRT Repayment Claim

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Example (2011): (23 x 100) = 2300 (23 +100) = 123

= 18.699% of the VRT paid

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3.1.5.2 Outline of Application Procedure

all applicants must complete and sign a Declaration for the Purpose of Claiming a

Repayment of VRT (VRT 37) and an Advice of Authorised Signatories (VRT 18A)

and forward both of them to the CRO prior to making the first application for

repayment;

repayment claims must be made on the appropriate form/s and forwarded to the

CRO.

Alternatively, a computer generated file (Lease.txt file) may be submitted to the

CRO by secure e-mail or computer diskette. The Lease.txt file must be accompanied

by a signed application endorsed “VRT repayment application as per details on

attached Lease.txt file”. A hard copy of the data must also be submitted. An

authorised signatory must sign each page.

3.1.5.3 Application Period/Time Limit

applications are usually made on a monthly basis and in order to expedite repayment

they should reach the CRO not later than the fifth working day of the month

following that to which the application refers;

applications must be made within two years of the date of payment of VRT but, in

exceptional cases, the CRO may approve a longer period.

3.1.5.4 Procedure at CRO

On receipt of an application for repayment the CRO should:

record receipt;

ensure it is properly completed and the signature is that of an authorised signatory;

ensure the eligibility criteria are met (see paragraph 3.1.3);

check that the applicant is tax compliant using the CR-Plus (or equivalent) system. If

there is a liability, issue a VRT18C to the applicant;

create a lease.txt file if not submitted with the application;

on the fifth working day of each month, upload application details to the Reception

System, thereby creating a Master Leasing claim File;

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the Master Leasing claim File is transferred to the local server. The Revenue

Computer Centre upload the file to the VRT system and cross-check with the

registration details;

two reports are generated by ITP:

The Signals list.

The Signals List contains details of each vehicle, whether it has been allowed or

refused, and the reasons for refusal.. It also details the amount of VRT refunded

or refused for each vehicle and the total amount for the claim being refunded and

refused. The VRT 18 claim form is updated from the repayment details gleaned

from the Signals list.

The Company Itemised List.

forward the Company Itemised List (claims accepted and claims rejected) to the

applicant. Any deductions or additions made to the claim should also be sent on

Deduction form VRT18D and the Additions form VRT18E;

issue authorisation for payment;

file the Advice of Repayment;

in cases of doubt or suspicion as to the bona fides of any application, or as to the

accuracy of its details, applications should be referred to the Audit Manager, Local

District Office at a more senior level for pre-payment audit1.

The following material is either exempt from or not required to be published under the Freedom of Information Act 1997.

[…]

1 Applications referred for pre-payment audit should be set aside pending a report from the Local District Office see also paras. 3.3.1.

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3.1.6 Selection of Applications for Audit

All VRT remission/repayment applications, and remissions/repayments, are subject to audit at

any time. The CRO has primary responsibility for selecting applications for pre/post-payment

audits and a record of all applications referred for audit should be kept by each repayment

section.

3.1.6.1 Leasing Repayment Scheme

Company Audit Itemised Lists are to be referred to the Audit Manager, Local Revenue

Office for information/audit, only as necessary, and the CRO should have regard to the

following guidelines when selecting applications for audit:

the first application submitted by a new applicant should be referred for pre-payment

audit;

thereafter, a number of applications based on risk, and not less than two applications

per applicant, per annum should be referred.

In each case, a small number of specific vehicles are to be selected for examination to

confirm that:

the applicant is actually engaged in one of the relevant activities, i.e. leasing or hiring

vehicles, driving instruction;

the applicant is entitled to a repayment of VAT under Part 8, Chapter 1, of the Value-

Added Tax Consolidation Act 2010 (as amended),;

a bona fide leasing agreement exists for each vehicle selected;

the agreement was signed within two weeks of the date of registration;

leasing repayments are actually being made and include the payment of VAT;

vehicles purchased outright (original purchase invoice).

3.1.6.2 Appeals

Where the applicant is dissatisfied with a decision made to refuse a repayment under the

Scheme, the applicant has a right of appeal. The appointed Appeals Officer is the AP, in the

Local District Office.

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3.2 Vehicles for People with Disabilities Tax Relief Scheme

3.2.1 Introduction

In 1994, the current regulations (see paragraph 3.2.2), which cover all aspects of the relief,

were introduced. These regulations replace a number of previous regulations introduced since

1968. Staff should familiarise themselves with these regulations as only the key elements are

addressed herein.

The available reliefs can be summarised as follows:

remission/repayment of VRT (residual VRT in case of used vehicle) on a

qualifying/adapted vehicle;

repayment of VAT on the cost of a new vehicle;

repayment of VAT on used vehicles not sold on ‘VAT Margin-Scheme’;

repayment of VAT on its adaptation;

Relief is subject to a maximum of:

€9,525 for a driver with a disability;

€15,875 for a passenger with a disability/family member of a passenger with a disability;

€15,875 for organisations with a vehicle adapted to transport less than 5 people with disabilities;

no limit for organisations with a vehicle adapted to transport greater than 5 people with disabilities, where the seating capacity for able-bodied passengers does not

exceed twice the seating capacity for those who are disabled;

€9,525 for organisations who purchase and adapt a vehicle for a driver.

repayment of excise duty on fuel used in a qualifying vehicle subject to an annual limit

of:

2,728 litres for a driver/passenger with a disability;

4,092 litres for a qualifying organisation; exemption from the payment of road tax on a qualifying vehicle.

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3.2.2 Legislation

Primary: Finance Act, 1989, s.92 (excise);

Finance Act, 1992, s.134(3)(VRT).

Finance Act 2014 s61

Secondary: Disabled Drivers and Disabled Passengers (Tax Concessions)

Regulations, 1994 (S.I. No. 353/94).

3.2.3 Relief for a Driver with a Disability (€9,525)

In order to qualify for relief, the following criteria must be met:

the applicant must meet the specified medical criteria and hold a Primary Medical

Certificate (PMC) (issued by the relevant Senior Area Medical Officer (SAMO) or a Board

Medical Certificate (BMC), issued by the Disabled Driver Medical Board of Appeal) to

that effect;

the vehicle must be specially constructed/adapted for use by the applicant;

certain adaptations require an Individual Vehicle Approval Certificate (IVA) which must

be obtained from an Approved Adaptor prior to registration.

The National Standards Authority of Ireland (NSAI) provides a list of licenced Adaptors,

which is available at:

http://www.nsai.ie/Our-Services/Certification/Automotive-Certification/Type-

Approval/Adaption-of-New-Vehicles-for-Disabled-Drivers.aspx

the vehicle must be purchased by the applicant (this includes vehicles purchased on

hire-purchase, but excludes vehicles which have been purchased by way of a leasing

arrangement);

the engine capacity of the vehicle must not exceed 2,000 cc;

the vehicle must be:

A new vehicle,

A used vehicle which has not been previously registered in the State, or.

A used vehicle which is registered in the State purchased from an authorised person.

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Where a vehicle has obtained full relief or the prescribed limits have been reached

under the relevant provisions of the Scheme, and the vehicle is subsequently purchased

by another applicant under the scheme, the vehicle may still qualify for repayment of

excise duty on fuel and Motor Tax Exemption.

The onus is on the Applicant to ensure all documents are submitted to CRO with the

DD1 form.

3.2.4 Relief for a Passenger with a Disability (€15,875)

Relief for a passenger with a disability may be claimed in one of two ways:

by the passenger with the disability in respect of a vehicle purchased by him/her for

his/her private transport to be driven by a third party;

by a family member of the passenger with the disability who:

resides with (see para 3.2.5) the passenger with the disability,

is responsible for the transportation of that person, and

has purchased the vehicle for that purpose.

In addition, in order to qualify for relief, the following criteria must be met:

the passenger with the disability must meet the specified medical criteria and hold a

PMC/BMC to that effect;

the vehicle must be specially constructed/adapted for use by the passenger with the

disability. Certain adaptations require an Individual Vehicle Approval Certificate (IVA)

which must be obtained from an Approved Adaptor prior to registration.




Approval/Adaption-of-New-Vehicles-for-Disabled-Drivers.aspx;

the vehicle must be purchased by the applicant (this includes vehicles purchased on

hire-purchase, but excludes vehicles which have been purchased by way of a leasing

arrangement);

the engine capacity of the vehicle must not exceed 4,000 cc;


A new vehicle,



adaptations should be fixed, permanent and relevant to the persons’ disability.

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The onus is on the Applicant to ensure that all documents are submitted to CRO with

DD1 form.

3.2.5 Residency Rule

The residency rule requirement may be waived in exceptional circumstances. In particular, it will

normally be waived where the applicant acts as a carer for the family member with the disability.

Where an application for admission to the Scheme is being considered and it is deemed that the

residency requirement is not being met, the applicant is to be so advised and invited to make a

case for its waiver. Should the application for this waiver be refused the applicant is to be

advised that he/she may have their case reviewed by writing to:

Office of the Revenue Commissioners, Planning Division, Customer Service Policy

Unit, Bishop’s Square, Redmond Hill, Dublin 2.

This procedure will not affect the applicant’s statutory right of appeal (see Paragraph

3.2.13).

3.2.6 Organisations for People with Disabilities

In order to qualify for relief, an organisation must:

come within the definition of a qualifying organisation;

operate on a non-commercial, i.e. voluntary basis;

be responsible for the care and transportation of people with disabilities. (a PMC is not

required for each individual carried by an organisation; nevertheless, passengers generally

must meet the qualifying medical criteria as set out above).

In addition, the following criteria must be met:

the vehicle must be purchased by the Organisation;

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the vehicle must have been specially constructed/adapted for the transportation of

people with disabilities;

certain adaptations require approval before Registration and an Individual Vehicle

Approval Certificate (IVA) which must be obtained from an Approved Adaptor prior to

registration.




Approval/Adaption-of-New-Vehicles-for-Disabled-Drivers.aspx;

the vehicle must have an engine capacity not exceeding 4,000cc(or 2000cc where the

vehicle is purchased for a driver with a disability);


A new vehicle,



the vehicle must be registered in the name of the organisation.

Relief available is limited to €15,875, where the vehicle has been specially constructed/adapted

for the transportation of less than five persons with disabilities.

Both the monetary (€15,875) and capacity (4000cc) limits may be waived/exceeded in respect of

any one vehicle, specially constructed or adapted for the transport of 5 or more disabled persons,

where the seating capacity for able-bodied passengers does not exceed twice the seating capacity

for those who are disabled.





The onus is on the Applicant to ensure all documents are submitted to CRO with DDO.

3.2.7 Limits on Use/Disposal

Vehicles which have been granted any of the above reliefs must, thereafter:

be used primarily for the transportation of the relevant person/s with the disability;

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SECTION 3


be retained by the applicant for a minimum of two years following purchase otherwise

the residual tax must be repaid to Revenue.

3.2.8 Procedure at Revenue Office

When presented with an application for relief the following guidelines should be observed.

3.2.8.1 Relief for a Driver/Passenger with Disability

Application must be made on the appropriate form DD1;

3.2.8.2 First Time Applicants

where remission from the payment of VRT is claimed, the form should be completed

and forwarded, together with a PMC to the CRO for the issuing of a Letter of

Authorisation;

a letter of authorisation will issue when the application is approved and the applicant

will be requested to forward details of the Vehicle Identification Number (VIN) of

the vehicle being purchased on the “VIN Details Form” that accompanies the Letter

of Authorisation;

once the VIN of the vehicle has been submitted, an Exemption Notification will issue

to the applicant;

when the vehicle is adapted and IVA Certificate issued (if required), the garage can

now proceed to register the vehicle online using the ROS system;

in the case of an imported vehicle, the applicant or their representative must make an

appointment with an NCTS Centre to have the vehicle registered. The documents

required for registration of a vehicle are outlined in the leaflet “Guide to Vehicle

Registration Tax”, and are outlined on the National Car Testing Service Website

“http://www.nct.ie”.

If the vehicle is being registered on an applicant’s behalf, a letter of consent from the

applicant must also be presented. The vehicle will not be registered exempt of VRT

(subject to relevant limits) if the Exemption Notification and the VIN number of the

vehicle do not match the details held by Revenue;

the PPS number for the person registering the vehicle must be presented at

registration.

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3.2.8.3 Existing Customers purchasing a new vehicle

a completed DDI form is required together with the 17 digit VIN number of the

vehicle being purchased;

once the VIN of the vehicle has been submitted, an Exemption Notification will issue

to the applicant;

when the vehicle has been adapted and the IVA certificate issues (if required), the

garage can then proceed to register the vehicle online using the ROS system.

3.2.8.4 Existing Customers purchasing a used vehicle

a completed DDI form is required together with invoices for the purchase and

adaptation of the vehicle;

the Vehicle Registration Certificate.

3.2.8.5 Existing customers importing a Vehicle

a completed DD1 form is required together with the 17 digit VIN number of the

vehicle being imported;

once the VIN of the vehicle has been submitted, the Exemption Notification will

issue to the applicant;

the applicant must make an appointment with NCTS Centre to have the vehicle

registered. The documents required for registration are outlined in the leaflet ‘Guide

to Vehicle Registration Tax’ and are outlined in the National Car Testing Service

Website ‘http://www.nct.ie’. The vehicle will not be registered exempt from VRT

(subject to relevant limit) if the Exemption Notification and the VIN number do not

match the details held by Revenue.

On receipt of the appropriate documentation the claim is processed by the CRO.

3.2.8.6 Organisations for People with Disabilities

the application must be made on the appropriate form (DDO);

where remission from the payment of VRT is claimed, the form should be completed

and forwarded to the CRO with a quotation for adaptations;

a letter of authorisation will issue when the application is approved and the applicant

will be requested to forward details of the Vehicle Identification Number (VIN) of

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the vehicle being purchased on the “VIN Details Form” that accompanied the Letter

of Authorisation;

once the VIN of the vehicle has been submitted an Exemption Notification will issue

to the applicant;

the garage, having acquired an IVA (Individual Vehicle Approval) Certificate from

the NSAI Certified Adaptor, can then proceed to register the vehicle online using the

ROS system ;

in the case of an imported vehicle, the applicant or their representative must make

an appointment with an NCTS Centre to have the vehicle registered. The documents

required for registration are outlined in the leaflet “Guide to Vehicle Registration

Tax”, and are outlined on the National Car Testing Service Website

“http://www.nct.ie”.

If the vehicle is being registered on an applicant’s behalf, a letter of consent from the

applicant must also be presented. The vehicle will not be registered free of VRT if

the Exemption Notification and the VIN number of the vehicle do not match the

details held by Revenue. The PPS number for the person registering the vehicle must

also be presented.

3.2.8.7 Claims

In all instances once the vehicle is registered, all original documents relating to the

purchase of the vehicle (Invoice for Vehicle, invoices for adaptations, marked “Paid in

Full” and an IVA Certificate if required) must be forwarded to the CRO.

The CRO will process the repayment claim for VAT.

The onus is on the individual to return the above documents to the CRO.

3.2.9 Procedure at CRO

On receipt of an application for relief, the CRO should:

examine the application and supporting documentation;

process claim in line with proper office procedures;

16

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in the case of second-hand vehicles, advise the DOELG (Department of Environment,

Community and Local Government) Motor Tax Office of the applicant’s exemption status

for road tax purposes.

3.2.10 Repayment of Excise Duty on Fuel

a refund of Excise Duty is available in respect of fuel used in a qualifying vehicle up to

a maximum of 2,728 litres in any one year in the case of a driver or passenger. The start

date is determined by the date the first qualifying vehicle enters the scheme, and remains

the same regardless of when or how many times the Applicant changes the vehicle while

the PMC is valid ;

the relief applies only for fuel used for the actual transport of the qualifying person/s;

driver and passenger claims should be made on the claim form (DD3);

receipts for the purchase of fuel should be retained by the claimant for 2 years;

a refund of excise duty to an organisation is limited to 4,092 litres in any 12 month

period for the approved vehicle, and should be made on Form DD4 (Rev3)

3.2.10.1 Procedure at CRO

On receipt of an application (DD3 or DD4) for repayment of excise duty on fuel:

examine the application to ensure it is fully and properly completed;

ensure that the registration number, total litres used, and current mileage is recorded;

the declaration must have a valid signature, PPS number and date;

ensure that the correct rate of refund is calculated;

process the Claim.

3.2.11 Selection for Audit

The CRO is responsible for the initial selection of repayment applications for audit by the

local Revenue Office. A number of applications based on risk should be selected for post-

payment audit. In each case local Revenue officers should be requested to confirm (or

otherwise) that:

the applicant is resident at the address supplied;

the adaptations to the vehicle are fixed, permanent and relevant to the disability of the

Primary Medical Certificate holder;

17

SECTION 3


in the case of passenger disability relief, the residency rule has been met or waived;

the vehicle is used primarily for the transportation of the person/s with the disability;

the current mileage on the vehicle should be recorded;

Where a case is selected for Audit as a result of a query on an Invoice an inspection of

the dealer’s records may be necessary.

A record of all applications selected and referred for audit should be maintained by the CRO..

3.2.12 Refusal of Remission/Repayment

Where the CRO/relevant Local District decides that an applicant is not entitled to relief either

because the eligibility criteria are not met, or because there is insufficient evidence to support

the application, the application should be refused.

A decision to refuse relief should be made in writing, only when all the facts have been

established and all available evidence submitted has been assessed by the Central Repayments

Office

The letter of refusal should contain:

the legal requirements for the relief being refused;

the precise grounds for the refusal;

reference to the Appeal Procedure.

3.2.13 Appeals

Where a PMC is refused by the Senior Area Medical Officer (SAMO), the applicant has a

right of appeal to the Disabled Drivers Medical Board of Appeal. Similarly, where Revenue

has reason to doubt that the holder of a PMC does not meet any of the medical criteria under

the relief, it may refer the holder to the Board for assessment. In each case, and following

assessment of the holder/applicant, the Board will either issue a BMC or confirm the original

refusal and, where appropriate, cancel the PMC.

Where the appeal relates to the repayment/remission of VRT /VAT, the appointed Appeals

Officer is the AP in the Local District Office

18



3.3 Relief for Certain Electric/ Flexible Fuel Vehicles

3.3.1 Legislative provisions

Primary: Finance Act 2008 s.81



Finance Act (No. 2) 2013 s55


3.3.2 Hybrid Electric vehicles From 1 January 2011 where a person first registers an M1 or N1 series production hybrid electric

vehicle they may qualify for a remission/repayment of up to a maximum of €1,500. The vehicle

must be a series production vehicle. The repayment/remission is on a sliding scale depending on

the age of the vehicle (See Table below). This provision is available until 31 December 2016.

‘Age’ in relation to a vehicle means the time that has elapsed since the date on which the vehicle

first came into service.

Age of vehicle Maximum amount which may be remitted or repaidNew vehicle, first registration €1,500Not a new vehicle but less than 2 years €1,3502 years or over but less than 3 years €1,1003 years or over but less than 4 years €1,0504 years or over but less than 5 years €9005 years or over but less than 6 years €7506 years or over but less than 7 years €6007 years or over but less than 8 years €4508 years or over but less than 9 years €3009 years or over but less than 10 years €15010 years or over Nil

‘hybrid electric vehicle’ means a vehicle that derives its motive power from a combination of an

electric motor and an internal combustion engine and is capable of being driven on electric

propulsion alone for a material part of its normal driving cycle.

19

http://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.oireachtas.ie/documents/bills28/acts/2008/a0308.pdfhttp://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2011/en/act/pub/0006/sec0053.html#sec53http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0008/sec0064.html#sec64http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2013/en/act/pub/0041/sec0055.html#sec55http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62http://www.irishstatutebook.ie/2014/en/act/pub/0037/sec0062.html#sec62

SECTION 3


3.3.3 Plug-in Hybrid Electric vehiclesFrom 1 January 2011 where a person first registers an M1 or N1 series production plug-in hybrid

electric vehicle they may qualify for a remission/repayment of up to a maximum of €2,500. The

vehicle must be a series production vehicle. The repayment/remission is on a sliding scale

depending on the age of the vehicle (See Table below). This provision is available until 31

December 2016.

‘Age’ in relation to a vehicle means the time that has elapsed since the date on which the vehicle

first entered into service.

Age of vehicle Maximum amount which may be remitted or repaidNew vehicle, first registration €2,500Not a new vehicle but less than 2 years €2,2502 years or over but less than 3 years €2,0003 years or over but less than 4 years €1,7504 years or over but less than 5 years €1,5005 years or over but less than 6 years €1,2506 years or over but less than 7 years €1,0007 years or over but less than 8 years €7508 years or over but less than 9 years €5009 years or over but less than 10 years €25010 years or over Nil

‘plug-in hybrid electric vehicle’ means a series production vehicle that derives its motive power

from a combination of an electric motor and an internal combustion engine, where the electric

motor derives its power from a battery that may be charged from an internal combustion engine and

an alternating current (AC) electric mains supply and is capable of being driven on electric

propulsion alone for a material part of its normal driving cycle.

3.3.4 Electric vehiclesFrom 1 May 2011 where a person first registers an M1 or N1 series production electric vehicle they

may qualify for a remission/repayment equal to the lesser of;

(i) the amount charged in accordance with Section 132(3)(a) or (c), or

(ii) €5,000.

The vehicle must be a series production vehicle. This provision is available until 31 December

2016.

‘electric vehicle’ means a vehicle that derives it motive power exclusively from an electric motor.

20



3.3.5 Electric motorcycleAn electric motorcycle first registered during the period up to 31 December 2016 is exempt from

vehicle registration tax. The motorcycle must be a series production electric motorcycle.

‘electric motorcycle’ means a motorcycle that derives its motive power exclusively from an electric motor.

3.3.6 Flexible Fuel Vehicles

This relief ceased on 31st December 2013.

A ‘flexible fuel vehicle’ means a vehicle that derives its motive power from an internal combustion

engine that is capable of using a blend of ethanol and petrol, where such blend contains a minimum

of 85 per cent ethanol.

21

SECTION 3


3.4 Claims by Authorised Persons for the Repayment of VRT

An ‘authorised person’ means a person authorised under Section 136 of the Finance Act 1992.

Please also refer to; VRT Manual Section 4 Authorisations and Debt Management.

3.4.1 Repayment Calculations

a) When an authorised person, i.e. a Tan Holder, makes a repayment claim in relation to the

overpayment of Vehicle Registration Tax (VRT) in respect of vehicles sold by that person,

section 135B(6) of the Finance Act 1992, as amended, provides that a repayment of the VRT

overpaid may only be made to the authorised person on condition that the VRT overpaid is

refunded by that person to the first registered owner of the vehicle. This is to ensure that the

person who purchased the vehicle from the authorised person and paid the VRT (included in the

price of the vehicle) will receive the benefit of the repayment.

The repayment amount should be calculated as follows:

V x (OP-S)

OP

Where

V is the amount of VRT overpaid

S is the price, if any, received by the first registered owner at the time of disposal but

where S is greater than OP, OP shall be taken as the price received, and

OP is the price, including all taxes, declared to the Commissioners at the time of first

registration of the vehicle.

Example A - Current Owner is the First Registered Owner

OP at time of Registration €15,000

Rate of VRT at time of Registration 23%

VRT Charged € 3,450

Correct Rate of VRT 19%

Amended VRT Charge € 2,850

Overpayment amount € 600

22

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In the above example the first registered owner at the time of registration is still the owner of

the vehicle. Therefore, a repayment of €600 will be made to the authorised person on

condition that the authorised person makes a refund of that amount plus any interest due on

the refund, minus a fee for processing the claim (which may be no more than 10% of the

repayment claim) to the first registered owner.

b) In the case where the first Registered Owner has sold/disposed of the vehicle, the following sets

out how the repayment should be calculated:

Example B

OP at time of Registration €15,000

Rate of VRT at time of Registration 27%


Correct Rate of VRT 18%

Amended VRT Charge € 2,700

Selling Price €10,000

Overpayment amount € 1,350

Using the formula outlined above

V= €1350 x (OP= €15,000-S= €10,000)

OP = €15,000

Amount to be repaid is €450.

Because the first Registered Owner has disposed of the vehicle before the claim was made,

the repayment amount due to the authorised person is €450, on condition that the authorised

person refunds this amount plus any interest due on the refund, minus the processing fee, to

the first Registered Owner.

In relation to the overpayment of VRT on “used” vehicles or new vehicles registered outside

the Distributor/Dealer network, the “OP” should be taken as the OMSP declared at the time of

registration as this is the amount on which VRT was calculated.

c) Where a repayment is due as a result of an incorrect OMSP being declared, the repayment

should be calculated as follows:23

SECTION 3


Example C:

OMSP declared at time of Registration: €21,000

Rate of VRT 23%


Amended OMSP €19,500

Rate of VRT 23%


VRT Overpaid € 345

Where the vehicle has been disposed of and a price, if any, has been received, the calculation

outlined at subparagraph 3.4.1 (b) above should be used. At all times the OP is the price on

which the VRT is calculated at the time of registration i.e. the OMSP.

3.4.2 Repayment Procedures

As part of the repayment claim, the authorised person must include details of the first registered

owner. The Revenue official processing the claim should be satisfied, by reference to the VRT

system, that the details of the first registered owner are accurate. Where the vehicle is sold by

the first registered owner prior to the receipt by Revenue of the claim, the repayment claim

should include documentation, e.g. sales invoice, change of ownership document, etc. to satisfy

Revenue that the vehicle was sold and as to the price received.

3.4.2.1 Repayment as a result of the incorrect VRT Rate being charged

When repayment claims are received from authorised persons in respect of VRT that has been

overpaid in relation to a particular vehicle or vehicles as a result of the incorrect VRT rate

being applied at registration, the authorised person must be informed that if the repayment

claim is successful, a refund of the VRT overpaid will issue, on condition that the relevant

amount is refunded to the first registered owner of the vehicle. The authorised person is

entitled to deduct a fee of not more than 10 per cent of the amount of the refund to cover the

costs of making the claim. The authorised person must be informed that the repayment to the

first registered owner must be made within 30 days of the receipt by the authorised person of

the repayment from Revenue and that evidence that the refund has been made must be

forwarded to Revenue.

The Revenue District processing the claim is responsible for informing the authorised

person of the conditions for the repayment.24



If the repayment is not made to the first registered owner within the specified time limit, the

authorised person will be liable for the full amount of the repayment and a charge must be

raised against their TAN number. The local Revenue District should raise this charge.

3.4.2.2 Repayments as a result of an Appeal against the OMSP

When an authorised person claims that VRT has been overpaid as a result of the incorrect

OMSP being used to calculate the charge, the authorised person must complete and sign Form

VRT 19. This form must be completed for each individual vehicle in relation to which a

repayment is claimed.

Any repayment made on foot of the VRT 19 must be transmitted to the first registered owner

of the vehicle. The District processing the repayment claim should confirm that the authorised

person making the claim is aware that the repayment must be transmitted to the first registered

owner of the vehicle. If the repayment is not transmitted to the first registered owner of the

vehicle within 30 days of the receipt by the authorised person of the repayment, a charge

equal to the full amount of the repayment MUST be raised against the authorised person.

3.4.3 Repayment where other taxes are outstanding by either the authorised person or first registered owner

This paragraph covers situations where the repayment claim involves an authorised person and a

first registered owner.

In cases where claims are made and the authorised person has outstanding tax liabilities, any

repayment amount is due to the first registered owner and the repayment may not be offset

against the authorised person’s tax liability.

In cases where it has been determined that the first registered owner has outstanding tax

liabilities, the repayment should still be made to the authorised person on the understanding that

it be passed on to the first registered owner. In order to protect the first registered owner’s right

to confidentiality in relation to his or her tax affairs, no attempt should be made to withhold

any portion of the repayment amount for offsetting against that liability.

3.4.4 Monitoring Repayments

25

SECTION 3


The Revenue District that processes the repayment is responsible for ensuring that the first

registered owner receives the repayment. Spot checks should be carried out from time to time to

ensure the veracity and accuracy of the verification received from the authorised person that the

repayment has been passed on to the first registered owner.

The repayment should be refused where the documentation supporting the claim is not

satisfactory.

3.4.5 Raising a VRT Charge if the repayment is not made to First Registered Owner

In cases where it is determined that the authorised person has not refunded the appropriate

amount to the first registered owner either through failure of the authorised person to notify

Revenue that the repayment has been made or as a result of information discovered during the

spot checks, the relevant Compliance Area must raise a VRT charge for the amount of the

repayment that has not been refunded to the first registered owner.

26



3.4.6 Frequently Asked Questions

Q. Who is responsible for informing the TAN Holder that the repayment, minus the fee, must

be passed on to the first registered owner?

A. The Revenue District dealing with the repayment claim must ensure that the authorised

person is aware that any repayment made, minus the appropriate fee, must be passed on to the

first registered owner of the vehicle.

Q. Who is responsible for ensuring that the repayment is passed on to the first registered

owner?

A. The authorised person who receives the repayment must ensure that the repayment is passed

on to the first registered owner of the vehicle. The Revenue District has a role in ensuring that

the authorised person has notified the first registered owner of the fact that the refund has been

made, and in spot-checking the authenticity of such notifications.

Q. If the first registered owner has outstanding tax liabilities should the repayment be made?

A. Yes. The repayment should be made because, to withhold it, would be to indicate to the

authorised person that there is an issue with the tax affairs of the first registered owner, thus

compromising the confidentiality rights of the first registered owner in relation to his/her

dealings with Revenue.

Q. What happens if the first registered owner cannot be located?

A. If the authorised person cannot locate the first registered owner, the repayment amount,

minus the fee, should be credited back to Revenue.

Q. What happens if the authorised person has already given the first registered owner credit

for the VRT overpayment prior to the repayment being authorised?

A. Under the legislation, the first registered owner is entitled to the repayment and Revenue

must be satisfied that the first registered owner has received the benefit of the repayment.

Q. What happens if the authorised person ceases trading prior to the repayment being made?

A. As Revenue cannot enforce the passing on of the repayment, consideration should be given

to forwarding the money directly to the first registered owner.

Q. If the authorised person is the first registered owner of the vehicle (e.g. vehicle acquired for

test drives etc.) which is the subject of the application, is the authorised person entitled to

a repayment?

27

SECTION 3


A. Yes. But note that if the authorised person has outstanding liabilities, the repayment amount can be offset against them.

28



3.5 Export Repayment Scheme

3.5.1 Introduction

From 8th April 2013, EU Vehicle Category M1 passenger vehicles (Revenue VRT Category A Vehicle), permanently removed from the State, are entitled to a repayment of residual VRT where they meet certain conditions.

The amount of VRT repayable is the residual VRT of the vehicle at the time the vehicle is presented for examination prior to removal.

The examination referred to in legislation is carried out by a “competent person” and the Revenue Commissioners have appointed Applus for this purpose.

Following the examination, the vehicle must be removed from the State within 30 days.

A claim for repayment can be made when proof is available that the vehicle has been registered in another Member State or has been permanently exported outside the European Union.

3.5.2 Legislation

Primary: Finance Act, 1992 (as amended), s135D (inserted by Finance Act 2012, s83)

Finance Act, 2014 s63

Secondary: Finance Act 2012 (Section 83(1)(j)) (Commencement) Order 2013(S.I. 110 of 2013)

3.5.3 Links

Revenue Website: http://www.revenue.ie/en/tax/vrt/export-repayment-scheme/index.html

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SECTION 3


3.5.4 Qualifying Criteria

The following criteria must be met in order to qualify for a repayment (these criteria are dealt with more comprehensively in 3.5.5 below).

The vehicle must: Be an EU Vehicle Category M1 passenger vehicle (VRT Vehicle Category A), Be currently registered under Section 131, Finance Act, 1992 and VRT must have been paid ,

and, Have an OMSP of not less than €2,000 at the time of examination.

At the time of the examination the person presenting the vehicle must: Present the appropriate Vehicle Registration Certificate for examination, Present an NCT Certificate where applicable, Present any supplementary documents believed to be pertinent or requested e.g.:

o A Revenue Document which includes the owner’s PPSN and Name and Address details, o P60, o Payslip etc. o In the case of an authorised trader (TAN Holder), present documentary details of their

Revenue Customer Number and Tax Type, and of the TAN Number.

The claim for repayment must provide proof: That the vehicle was removed from the State within 30 days of its examination, and That the vehicle has been registered in another Member State or has been permanently exported

from the EU.

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3.5.5 Qualifying Criteria – Details

3.5.5.1 Category of Vehicle Eligible

Only EU Vehicle Category M1 vehicles are eligible under the scheme. EU Vehicle Category M1 vehicles are defined as “Vehicles designed and constructed for the carriage of passengers and comprising no more than eight seats in addition to the driver’s seat”.

Under Revenue legislation (Section 130, Finance Act 1992, Interpretation) this means VRT “Category A” vehicles.

3.5.5.2 Requirement to be Registered and VRT paid

The law provides that the vehicle must be registered in the State at the time of the examination and immediately prior to its removal from the State. The VRT appropriate to the vehicle must have been paid in full.

3.5.5.3 Qualifying OMSP

The OMSP of the vehicle at the time of the examination must be “not less than €2,000”. If the vehicle has an OMSP of €2,000 or more when it is presented for examination then it will qualify (provided, of course, that it fulfils the other criteria). If, at the time of presentation for examination, the vehicle has an OMSP of €1,999 or less then it will not qualify for the scheme.

A person wishing to avail of the scheme can check the OMSP of their vehicle in advance of presenting it for examination by accessing the VRT Enquiry Calculator system on the Revenue website. This will give them the OMSP of the Make/Model/Version selected at the time of the enquiry. This amount can change at the time of examination as a result of:

incorrect initial vehicle selection,

change in values due to the time elapsed from the time of the initial online enquiry to the time the vehicle is finally presented for examination, or

routine amendments to OMSP.

It is possible that a vehicle, when first checked on the ROS VRT Enquiry System, could have an OMSP of, for example, €2,100, but, by the time the vehicle is presented for examination at the NCTS Centre, the vehicle will be excluded from the scheme as the OMSP has fallen below €2,000. In this case the vehicle will not qualify for the scheme and the system will reject it.

It is not expected that this type of situation will arise often. However, it is possible and it is important that there is a clear understanding of the qualifying criterion provided for in law: the OMSP of the vehicle must be €2,000 or more “at the time of examination” – not at the time the person makes the enquiry on the system.

The Enquiry Screen contains a prominent note to the effect that the OMSP of the vehicle should be checked on the day on which it is intended to present the vehicle for examination.

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https://www.ros.ie/evrt-enquiry/vrtenquiry.htmlhttps://www.ros.ie/evrt-enquiry/vrtenquiry.htmlhttps://www.ros.ie/evrt-enquiry/vrtenquiry.htmlhttps://www.ros.ie/evrt-enquiry/vrtenquiry.htmlhttps://www.ros.ie/evrt-enquiry/vrtenquiry.html

SECTION 3


3.5.6 Documentation Required

3.5.6.1 NCTS Examination Documentation

The person presenting the vehicle for examination at an NCTS Centre must present documentation relating to the vehicle. This documentation will be examined by the competent person and all relevant matters must be found to be in order. The main documentation is: the Vehicle Registration Certificate, and a National Car Test Certificate (if applicable).

Other relevant documentation may include, for example: a Revenue Document which includes the owner’s PPSN and Name and Address details, a P60, a Payslip, or in the case of an authorised trader (TAN Holder), documentary details of their Revenue

Customer Number and Tax Type, and TAN Number.

The competent person will carry out a series of physical checks to ensure that the vehicle presented is the same as that on the VRC and the NCT Certificate.

3.5.6.2 Removal to another EU Member State

The law provides that a claim for repayment must be accompanied by proof that: the vehicle is removed from the State within 30 days of the examination by the competent

person, and the vehicle has been registered in another Member State or permanently exported outside the

EU.The legal requirement is that the claim is accompanied by documentary proof that the vehicle was removed from the State within 30 days of the examination by the competent person (NCTS).

In cases where the vehicle was removed by sea the accompanying documentation should include shipping documentation that clearly identifies the vehicle by registration number or VIN In the great majority of case this will be sufficient to fulfil the 30-day requirement.

In cases where the vehicle has been driven or otherwise transported from the State (for example, by low loader to Northern Ireland) verification will be necessary by reference to other documentation such as a receipted invoice from a purchaser or a commercial document from a transport company.

In general, and especially for private sales, there may be a variety of document types submitted to prove removal within 30 days.

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3.5.6.2.1 Documentary proof of removal from the State

The following documents are acceptable as proof of removal from the State (please note that in all cases the vehicle or vehicles must be identifiable): Shipping details, e.g. manifests, Sales invoices, Bills of Lading, and Commercial Invoices.

The document(s) should show the Mode of conveyance, Point of departure, Date of departure, and Country of destination.

3.5.6.2.2 Registration in another Member State

The claim must also be accompanied by documentary evidence of the vehicle’s registration in another Member State.

This can include: a copy of the registration document issued in the other MS, or a statement issued by the registration authority of the other MS confirming that the

vehicle specified has been registered.

The legal requirement is that the claim is accompanied by proof of subsequent registration in another Member State. Ideally this proof would consist of a document from the other Member State’s registration authority clearly showing that the subject vehicle has been registered.

However, it is possible that a claimant will only provide a foreign registration number and no other proof (especially for transactions carried out privately through a non-State dealer).

Before rejecting a claim, the processing officer should take whatever steps are possible to verify the accuracy of the details provided. This may include verification with the registration authority of the other Member State, or contacting the Department of Transport, Tourism & Sport for confirmation.

IN ALL CASES, THE DOCUMENTARY PROOF MUST QUOTE THE VIN OF THE SUBJECT VEHICLE.

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SECTION 3


3.5.6.3 Export to a country outside the EU

The legal requirement is that the claim is accompanied by documentary proof that the vehicle was exported from the State within 30 days of the examination by the competent person (NCTS).

In cases where the vehicle was removed by sea the accompanying documentation should include shipping documentation that clearly identifies the vehicle by registration number or VIN . In the great majority of cases this will be sufficient to fulfil the 30-day requirement.

It should be noted that a Single Administrative Document (export) may not be sufficient as it will only itemise the vehicle as an intent to export – there is no guarantee with a SAD that the vehicle was actually shipped - a commercial shipping invoice may be required to support the SAD declaration.

3.5.6.3.1 Documentary proof of removal from the State

The following documents are acceptable as proof of removal from the State (please note that in all cases the vehicle/s must be identifiable): Shipping details, e.g. manifests, Sales invoices, Bills of Lading, and Commercial Invoices.

The document should show the Mode of conveyance, Point of departure, Date of departure, and Country of destination.

It is expected that many of the claims will be accompanied by shipping documentation. The documentation presented may include manifests, certificates on landing, invoices, non-EU registration documents etc.

When processing, the officer should ensure that the subject vehicle is identifiable on the documentation and be satisfied that the vehicle was shipped from the EU. As noted above, in itself an Export SAD may not be sufficient and supporting documents in the form of commercial invoices may be required.

IN ALL CASES, THE DOCUMENTARY PROOF MUST QUOTE THE VIN OF THE SUBJECT VEHICLE.

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3.5.7 Claim Forms

The legal requirement is that the claim will be made in such manner and form as approved by the Commissioners. The relevant forms for claiming the export repayment containing a legal declaration are linked below. These forms are also available on the Revenue website:

http://www.revenue.ie/en/tax/vrt/export-repayment-scheme/index.html

The relevant form should be submitted in respect of every claim. Where a claimant is claiming for more than one vehicle it is sufficient for one declaration, but each vehicle must be itemised.

Form VRTER1 – in respect of vehicles removed by a trader to another EU Member State.

Form VRTER1A – in respect of vehicles exported by a trader to a country outside the EU.

Form VRTER2 – in respect of a vehicle removed/exported by a private individual.

In all cases, the Claim Form must be accompanied by the correct supporting documentation. The onus of proof is on the claimant.

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SECTION 3


3.5.8 Processing of Claims

3.5.8.1 Incomplete Claims

Incomplete forms will not be processed, but will be returned directly to the claimant for completion

3.5.8.2 Offset against other Taxes

Section 960H, Taxes Consolidation Act, 1997 provides, amongst other things, that where the Collector-General is satisfied that there is a tax liability then the amount of any claim for repayment can be offset against that liability. This Section also provides that where there is a return outstanding that the amount of repayment due can be withheld until such time as the return is submitted.

In a case where a claim for export repayment of VRT is validated, the processing officer should, before any steps are taken to make the repayment, check that the claimant does not have any outstanding tax liabilities or tax returns.

Where there is a tax liability the export repayment should not be made to the claimant and the amount due should be offset against the liability. Where there is a balance after the tax liability is discharged this amount can be repaid to the claimant. The claimant should be notified where offset is considered necessary.

Where a return is outstanding the claimant should be notified that the claim cannot be processed further until such time as the return or returns due are submitted.

3.5.8.3 Further Verification

Where an officer processing a claim for repayment develops serious doubts about the validity of the claim it should be referred to the appropriate District for further investigation.

Where a single claim for repayment (for one or more vehicles) exceeds €5,000 the HEO may decide that further verification is required. In this case, the HEO in the CRO will take all steps necessary to carry out the verifications. Exceptionally, the claim may be referred to the appropriate District for verification.

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3.5.9 Repayment

Where the claim is in order, and subject to the offset provisions, the VRT repayment must be made to the last named owner on the National Vehicle Driver File (NVDF) maintained by the Department of Transport, Tourism and Sport, Shannon. The repayment amount will be reduced by the amount of any previous VRT remission or repayments plus an administration charge of €500.

3.5.10 Export Repayments for pre 2006 Registrations

For all VRT Export Repayments approved for pre-2006 registrations (registrations with a date of registration prior to 01/01/2006) the Department of Transport Tourism and Sport have to be manually informed. This involves sending a note on headed paper to DOT Shannon, stating the Vehicle has been exported and residual VRT has been repaid.

3.5.11 Re-imported vehicles which have previously received an Export Repayment

A vehicle which has been permanently exported under the Export Repayment Scheme and has received a VRT refund, is now unregistered in the State.

If such a vehicle re-enters the State on a permanent basis, it must be presented at an NCTS Centre for registration within the normal timeframe. VRT will be payable at the time of registration and a new Irish registration number will be issued. It will not be possible to have the vehicle motor taxed without receiving the new registration number, as the Department of Transport, Tourism and Sport will have been informed that it has previously been permanently exported.

It is an offence under Section 131(6) of the Finance Act of 1992, subject to penalties under Section 139 of the Finance Act of 1992 (as amended), to display the original number on such a vehicle.

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