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Can I avoid VAT on a nearly-new import?

I bought a car in the UK and took it for inspection. It has just 2,995km the on purchase invoice and so I was caught for VAT. The dealer will buy it back, put the miles on it and then sell it to my wife. I assume I cannot bring it in a second time as this would probably be tax evasion? Since my wife is a separate person am I correct in thinking that Revenue will accept this?

P Johnstone (Co Meath)

Dec 2018 Filed under: importing


Expert answer

Hi there,

This is possibly a bit above our pay grade as it all sounds a bit dodgy. Potentially, yes, you’re right that your wife is a separate legal entity and that they might well accept that, but it’s definitely going to raise some red flags, especially if you share a surname as well as a home address. I would take advice from a tax accountant, and possibly a solicitor, before trying this. 

Neil Briscoe - Complete Car Advisor
@neilmbriscoe


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