Yeh but alot of what he says makes sense!

Some of what he says does make sense. It's true there are a huge number of people in Ireland who are massively in debt due to their life styles and the first show was good as it highlighted that. And as he said, that's bad debt and in some cases he helped people sort them selves out.

But then he keeps going on about jumbo mortgages etc but never recommends a solution when the choice is a jumbo mortgages or jumbo rent I know which one makes sense to me.

anyone that gets government talking bout how we are ripped off im in favor of.  Still ahve to ask myself why we live he when id be far better ogff going bak to the uk.

Hopefully he'll talk about the m50

shar_k wrote: Eddie Hobbs covers transport tonite on Rip of Ireland, no doubt he'll cover new car prices and VRT might be worth a look!

Can't be much worse than rip-off WCUK....

I've seen the last few episodes, these things should be highlighted so i think it's great that someone has decided to air on national TV.

However, i don't think it'll make much difference and we'll all just carry on paying extortioate prices for EVERYTHING! and continue to generate a false economy.

Same as that K.

You have to wonder why there is no opposition party prepared to raise these issues and tackle the govt., it really does highlight the amount horse ****e these politricksters talk though, while entertaining to watch, it's also scary to see how public money is squandered!

Once you register the car down south and pay your vrt + vat you get a rebate of 17.5% vat

Chaps

It was easy to miss but when he put the powerpoint presentation up about the focus afterwards, there was a deduction at the bottom for UK VAT already paid, leaving the difference between the price of importing and purchasing domestically at around €3,500 IIRC.  This was different to the video section where he said for dramatic effect to the woman in the VRO that it was €6,900 more expensive (or thereabouts).  

You can reclaim the UK VAT paid on new cars (you can't pay VAT twice in the EU).

I actually think the prime time program he referred to was far better and far more factual than this one.  Nonetheless, I think the program served a purpose if it gets people off their asses to actually complain and demand some accountability  for the chronic waste of public funds that goes on in this country. 

The toll fiasco particularly makes my blood boil.  Despite the fact that the West Link is an unmitigated disaster, the government is still planning to give private operators the opportunity to collect tolls on lots of new stretches of motorway around the country.

Muppets.

Mick

kbannon wrote: Fair enough, then VAT isn't being paid twice. However, why is there a need to pay the VAT here once it was already paid within the EU, even if a rebate is being offered? On a €20K (without VAT) car the UK VAT is ~€3500. The Irish VAT is ~€4200. There is about a €700 difference just in VAT alone.

Are cars the only item where you have to pay the Irish vat on them rather than the vat where the car was bought?

I think most people were aware of the VRT costs here, but the new news to me was the planning of private authorities managing the new toll roads in the future.

Are the rumours also true about VRT being abolished on cars above 3.0litre?

Can you imagine going into a dealer and seeing a 330i 20k cheaper than a 325i....

K

Thats the way the entire VAT system works, its not a quirk peculiar to motor vehicles (unlike the VRT).  Where I work we often use lawyers in the UK and we effectively have to gross up their bills (which are already outrageous) on the VAT returns to pay at the Irish Rate of 21 and claim credit for the UK VAT paid (unless it relates to services rendered outside the EU in which case it is non-chargeable).

Its a bummer but this is one case in which you shouldnt feel like we motorists are being singled out for any special treatment.

Interestingly,  Moore McDowell was on Dunphy this morning and he said one thing that had been missed on the show was the fact that the people who set the values the VRO works off are none other than the Irish Motor Industry.   Who have a vested interest in making sure it is totally uneconomical to buy a car from outside the state.

Mick

kbannon wrote: Fair enough, then VAT isn't being paid twice. However, why is there a need to pay the VAT here once it was already paid within the EU, even if a rebate is being offered.

There is a possibility that a VAT input credit could have been claimed in the other country before export and the car sold zero rated for VAT purposes as an export.  So, in the same manner that you can't be charged it twice, you have to be charged it once.  It is the final consumer that bears the overall cost of it.

The Revenue don't allow businesses to reclaim VAT on motor vehicles in this country but the Inland Revenue do allow it in the UK.  VAT is then charged on the subsequent disposal (assuming its not zero rated for export).

I think he could have choosen to pay the VAT in NI and he would just have had to pay the VRT in the ROI.

///M3Mick wrote: ..... we often use lawyers in the UK and we effectively have to gross up their bills (which are already outrageous) ...

Oh thanks....

ludo wrote: I think he could have choosen to pay the VAT in NI and he would just have had to pay the VRT in the ROI.

Ludo, because the VRO deem the car to be new (under 6 months old and/or less than 6000km) it will be subject to VAT in ROI - that can't be avoided. 

The point that was missed I believe in the program was that there is a mechanism for getting the UK VAT back.  The Inland Revenue Form VAT 411 may be relevant.  The description is:

New Means of Transport

 This form is for registering the removal of New Means of Transport to other Member States of the European Community by persons not registered for VAT.

Dergside wrote: ludo wrote: I think he could have choosen to pay the VAT in NI and he would just have had to pay the VRT in the ROI. Ludo, because the VRO deem the car to be new (under 6 months old and/or less than 6000km) it will be subject to VAT in ROI - that can't be avoided.  The point that was missed I believe in the program was that there is a mechanism for getting the UK VAT back.  The Inland Revenue Form VAT 411 may be relevant.  The description is: New Means of Transport HMRC Reference: VAT 411  This form is for registering the removal of New Means of Transport to other Member States of the European Community by persons not registered for VAT.

ok. The programm did show the numbers with the VAT paid only once (i thgink it worked out €3g more to buy in the north)

kbannon wrote: The other thing I thought he would mention is the effect VRT has on the safety features within new cars. Many manufacturers downgrade the car (e.g. remove airbags etc.) as otherwise the post-VRT price of the car would make it uncompetitive.

So in essence you got f***** twice! Still all that road tax does go to give you those wonderful roads doesn't it?

mikerd4 wrote: .....things need to change or the buig companies that were attracted to the cheap tax breaks will start to think twice!

Will it ever be as economically bad again in Ireland as it was in 1988?

ludo wrote: ok. The programm did show the numbers with the VAT paid only once (i thgink it worked out €3g more to buy in the north)

Forgetting about the technicalities of VRT though, the opportunities to save money by importing a brand new car are few and far between since the pre-tax cost in most european countries are higher than here and the amout of VAT and VRT will be the same as a new car here.

From that point of view, the exercise was ridiculous.  It would have been more enlightening to illustrate the point that if you bought a 6 month old used car you could save a significant amount of cash.

An example to illustrate.

A Jan '05 Mondeo 1.8LX with about 12k miles would cost you about £7800 at auction in the UK or maybe £9250 at a car supermarket. 

Bring that back here and the saving versus the current list price for a new one is between €7,000 and €9,000 depending on which way you buy in the UK (after paying VRT but not including flights, ferries, etc.). 

The saving versus the cheapest used '05 Mondeo on Carzone.ie is between €4,000 and €6,000. 

The car still has loads of manufacturer warranty left, which is transferable.  Register it here and it gets a current plate.

Would that have been a more reasonable example? Probably.

Would it have annoyed the car distributors and dealers? Absolutely!

Would it have supported the view of Rip off Ireland?  Definitely.

Well, Eddie Hobbs may be an acquired taste to some, personally I like him.

His program has again highlighted the penal attitude to Irish motorists.

If the money collected, was spent wisely, the pill would be easier to swallow, but he showed us different. Now, if we could get Eddie to run for public office, wouldn't that be something.

Donegal TDI wrote: If the money collected, was spent wisely, the pill would be easier to swallow, but he showed us different. Now, if we could get Eddie to run for public office, wouldn't that be something.

Pill? Suppository surely??

LOL.

Orifice to be inserted into is optional