Tax Appeals Commission determination 86TACD2022 regarding VRT, 2022

Administrative Decision Number86TACD2022
Date23 May 2022
RespondentThe Revenue Commissioners
The Revenue Commissioners
1. This is an appeal to the Tax Appeals Commission (“the Commission”) pursuant to and
in accordance with the provisions of section 949I of the Taxes Consolidation Act 1997
(“the TCA 1997”) brought on behalf of (“the Appellant”) against a
determination made by the Revenue Commissioners (“the Respondent”), in relation to
a charge to Vehicle Registration Tax (“VRT”) on the importation of a vehicle into the
2. The Appellant maintains that the “open market selling price” (“OMSP”) is incorrectly
calculated leading to an overpayment of VRT, on the basis that the Appellant has
remanufactured the vehicle and carried out a list of repairs to the vehicle. In addition,
the Appellant maintains that VRT is in effect a customs duty and is in breach of EU
Law, in particular Articles 28 and 110 Treaty on the Functioning of the European Union
3. By letter dated 28 May 2018, the Appellant lodged a first stage appeal with the VRT
Appeals Unit of the Respondent on the grounds that, as the vehicle had been
substantially remanufactured, the VRT was incorrect. Moreover, the appeal stated that
no VRT was due on the vehicle as VRT is a customs duty and acts as such and
therefore is contrary to Articles 28 and 110”. The VRT Appeals Unit revised the OMSP
downwards to €18,618. This realised a refund of €838, which has not been claimed.
On 18 July 2018, the Appellant duly appealed to the Commission. The appeal
proceeded by way of a hearing that took place on 11 May 2022.
4. The assessment to VRT concerns a BMW Sport model car (“the vehicle”),
which was first registered in the United Kingdom (“UK”) on 01 September 2014. On 8
March 2017, the Appellant purchased the vehicle in the UK, which was damaged at
the time of purchase. Subsequently, the Appellant carried out a number of repairs to
the vehicle. The vehicle was declared as having first entered this jurisdiction on 09
March 2018, and was registered in Ireland on 30 April 2018.
5. On 30 April 2018, the Appellant presented the vehicle for registration at the National
Car Testing Service (“NCTS”) where an unregistered vehicle inspection was carried
out. The VRT for this vehicle was calculated as a percentage of the OMSP of the
6. The vehicle was assessed as being in good condition and an OMSP of €23,272 was
attributed to the vehicle, resulting in a VRT payment of €4,189 being due and owing by
the Appellant. On 30 April 2018, the Appellant paid the total amount of €4,406 being
the VRT liability of €4,189 and an additional amount of tax in the sum of €217 due as
a result of a delay in presenting the vehicle for registration. The vehicle was assigned
the registration number .
7. By letter dated 28 May 2018, the Appellant lodged a first stage appeal with the VRT
Appeals Unit. In his letter of appeal, the Appellant stated “…….I hereby appeal my VRT
assessment. Because this vehicle was substantially remanufactured and there is no
VRT due. Please refer to the Commission v France for precedence. You might note
that my appeal is based on Law and as such jurisdiction for this appeal should be the
Circuit Court and appealed to the High Court. I enclose the requested documentation”.
8. On 11 June 2018, the Respondent wrote to the Appellant in relation to his appeal. The
VRT Appeals unit revised the OMSP downwards to €18,618 with the lower VRT
amount of €3,351 being due and owing. This was a 20% reduction in the OMSP
originally determined in respect of the vehicle. This realised a repayment of €838 to
the Appellant, which to date has not been claimed by the Appellant.

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