Why higher VRT on an electric convert?

HELPDESK: Answering all your motoring queries, is PADDY COMYN

HELPDESK:Answering all your motoring queries, is PADDY COMYN

From CB: My son in Australia bought a 1995 Nissan Micra and converted it to electric (ie, total electric, no engine) before shipping it to Ireland last November. It drives well for 80 to 100km and is charged with a normal 13 amp socket at home.

Having paid the custom duty and VAT, application was made for VRT. To expedite matters the car was brought to Carlow VRT office where there was no delay.

But as this car was not a standard series model (ie, made by a recognised manufacturer) Revenue had no idea what to do. As this car is totally electric, there should be no VRT but there was no code applicable. Revenue was to contact me (this was a week before Christmas) so I waited until the New Year and waited and waited.

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I contacted Revenue early in February and after various phone calls I was given a code but I would have to pay a special sum of €600 based on a nominal value for a petrol engine, after which I was to appeal this payment as it was admitted that there should be no VRT on electric cars. I agreed to this and called to the VRT office to pay. However it could not be accepted as at this stage a late fee of €65 were demanded.

Further conversations with a Revenue official got the admission that the delay was entirely their fault. But nothing could be done except to also appeal this payment. The revenue official said I have a very good case for a refund of both payments.

At last I now have a registration number. Since writing this today I received a letter saying a refund of the late fee of €65 will be forthcoming, however the €600 can’t be returned as the exemption is only applicable to “series production electric vehicles”. So much for encouraging no emissions vehicles.

We contacted Revenue on your behalf and they were quite clear about the rules. They told us that section 135C (3) of the Finance Act 1992 (as amended) states: “(3) (a) A category A electric vehicle or a category B electric vehicle first registered during the period from January 1st, 2011 to April 30th, 2011 is exempt from vehicle registration tax where the commissioners are satisfied that such vehicle is a series production electric vehicle.”

This vehicle is not a “series production” electric vehicle, so an exemption is not allowed. When we did a Motorcheck report on your car, the first search shows it is actually electric, but when you delve deeper it is still showing as having once been a petrol car.

From GH: For most of my life I have driven high-powered coupé and convertibles that attract penal motor tax and have poor petrol consumption. Due to changes I will soon be driving more than 20,000 per annum and I need a car with moderate road tax, good fuel consumption and good looks.

My budget is circa €60,000. Preferably a two-door and possibly convertible two-seater may also suffice. Please, not a BMW 5 Series or Mercedes E-Class. Does such a vehicle exist or is there anything in the pipeline? I can wait until January 2012.

Fear not. These days there are quite a few cars that would match your criteria. The first that would spring to mind would be the BMW 320d M Sport. It looks superb, is a convertible, has a 184hp diesel engine which is no slouch, managing 0-100km/h in 8.3 seconds and a top speed of 228km/h. It has decent handling too. Yet despite all this, it has emissions of 135g/km, so will cost you €156 per annum to tax and will manage 5.1 l/100km (55mpg). List price is €54,260 which leaves you some change for extras.

If you don’t fancy that, you could have an Audi TT Roadster Diesel (band C €302) for €50,060. An Audi A5 2.0-litre TDi SE Cabriolet would cost you €52,460 (band C). Or how about the Mercedes E-Class E250 CDi Cabriolet (band C) for €59,125? My money would go on the BMW though.

Send your queries to Motors Helpdesk, The Irish Times , Tara Street, Dublin 2, or e-mail motorshelp@irishtimes.com