Buying a Used Car in Northern Ireland

There can be some savings to be made by buying a used car in Northern Ireland and importing it to Ireland.

Since May 2024 , most used cars purchased in Northern Ireland can be registered in the Irish Republic without being subject to Import VAT or Customs charges .

To avoid import VAT and customs charges – yoiu will need to provide proof that the vehicle has been in private ownership in Northern Ireland for a reasonable period of time” .

We checked with the VRT inspection office in Ballymun and they told us that 3 months would be seen as ” a reasonable period of time”.

You will need a copy of the V5C (logbook) showing the last registered keeper in NI and date of registration for that keeper.
Proof of MOT tests would also be sufficient proof .

NOTE: A used vehicle is at least 6 months old , or has travelled 6,000 km or more.

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New Car Imports from Northern Ireland

When buying a new vehicle from Northern Ireland it is important to note that Irish VAT will need to be paid at the time of registration in the Republic. This could be in addition to UK VAT already paid in the North. A refund of the VAT paid in the North can be claimed from the dealer on the production of a receipt of VAT paid in the Republic.

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Revenue Information Here


More here about Importing Cars From the UK to Ireland

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Paying for a Car in Sterling – what are the options?

Prices will work out lower for Irish residents when the Sterling / Euro exchange rate favours the Euro. See more about the  latest Euro Sterling Exchange Rate Here

Using Your Own Bank will nearly always work out as the most expensive option if you want to exchange Euros to Pounds. You will rarely get the best exchange rates from a major bank.
The majority of the banks will typically make between a 2% and 4% margin on the exchange rates they use.
Getting a good deal on the exchange rate could easily save you enough money to tax your imported car for a year.  For example on a £15,000 car purchase  – a difference of just 2% on the exchange rate would save you £300.

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Best Way of Paying for a Car in the UK / Northern Ireland

Below – we have listed some of the best options for currency transfer when paying for a car in Sterling in the UK / Northern Ireland

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Buying Used Cars in Great Britain (NOT NI)

Importing a used car from Northern Ireland used to be a bit more expensive than the rest of the UK. However, this will be reversed now because import VAT and sometimes duty in Ireland has to be paid on UK (non-NI) imports .

You have to pay VAT on all used and new cars imported from Great Britain to Ireland.
However – If you buy a car in Northern Ireland, you only have to pay VAT in Ireland on new cars. An extra VAT charge could apply if the vehicle was not properly imported from Great Britain to Northern Ireland.

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More here about Importing Cars From the UK to Ireland

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Other payment options when buying a car in Northern Ireland .

Paying with a Debit Card –  This option may not be viable because of the daily spending limits on almost all Irish debit cards. Also, some sellers will have limits on how much they will accept by debit card.

Irish Debit Card Daily Spending Limits are …

• EBS: €2,000 ;
• PTSB: €2,500 ;
• N26: €5000 ;
• Revolut – £5,000 over a 96 hour period.
• AIB: €7,100 ( €5,000 max per transaction)
• BOI no daily limit.

There will usually be a small “non-euro” transaction charge from the “old school” banks for using a debit card to buy in Sterling – but it won’t be more than €11.43 whatever you spend.
The exchange rate used will be the Visa or Mastercard Rate

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A standard Revolut Card has a fee of 1% on currency conversions of more than €1000 a month. But the Revolut Premium card (€7.99 a month) has no fees on all currency conversions. You can use the card to spend abroad – but you can also use the Revolut app to transfer money to UK bank accounts.

Special Offer for Money Guide Ireland readers.
If you join Revolut using the link below – you will get a 3-month free trial of Revolut Premium for FREE.
You can sign up Here .

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N26 :– If you get a debit card from the new online bank N26 –  they won’t apply any extra charges when you make purchases in non-Euro currencies. They use the Mastercard exchange rate – which is usually about 0.25% over the interbank rate.
N26 is an “online-only” bank, based in Germany and licensed by the European Central Bank
You can find out more and sign up here for an N26 Bank Account.

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Bank Draft –   not really a viable option. This involves getting your Irish bank to convert your Euros to Sterling and write a banker’s draft in Sterling payable to the car seller. Many UK dealers won’t take bank drafts because of forgery problems. Also – the exchange rate you get from your bank is likely to be a lot worse than the other options listed above and there are usually extra fees.

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Cash:  Paying in cash is not really a viable option either. On larger value purchases most reputable car dealers won’t take cash. Even if they do – you definitely won’t get the best exchange rate on cash and there’s also the worry of the theft or loss of the cash.

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Credit Card – using your Irish credit card to pay for a car in Sterling (assuming your credit limit is big enough) is not a good option. The exchange rate might be OK – but the credit card company will charge you between 1.75% and 2.65% on a foreign currency transaction. Based on an average of 2% – this would mean a charge of about €250 on a £10,000 purchase.  More here about Credit Card Fees When Buying Overseas

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VRT Charges on Imported Cars:

Vehicle Registration Tax :- Before you purchase any vehicle in the Great Britain / NI , ensure that you use the  Revenue VRT Calculator in order to find the potential VRT charges that you will have to pay here when registering the vehicle here.
The VRT  due on passenger vehicles (cars)   is based on a percentage of the car’s ” Open Market Selling Price” (OMSP) as determined by the Revenue Commissioners.  This percentage varies, depending on the car’s CO2 emissions.  (VRT Rates on Cars Here)   and NOx emissions Lower emissions mean lower VRT. The lowest rate is 14% – rising to 34% for high CO2 emissions.

NOx Tax

Since January 1st, 2020 the new NOx (nitrogen oxide) tax could add a big chunk to the price of older diesel cars. For example A 2014 Golf 1.6 TDI could end up with a NOx charge of €1,510 because of its emissions of 118mg/km. So it will pay to avoid “dirtier” cars and try to look for ones with low NOx emissions.

• For example, a 2014 BMW 520d has NOx emissions of just 17mg/km, so would only be charged €85 tax here.
• A 2014 Toyota Prius has NOx emissions of just 8mg/km, equating to a NOx charge of €48.
• Avoid the 2014 Ford Focus 1.6 TDCI diesel which would be charged a whopping €2,385 in extra NOx tax, on top of the approx €1,500 of “regular” VRT to import.

Motor Tax in Ireland

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