Can I reclaim VAT from a UK car dealer on export?

Hi,

Can I reclaim any UK VAT from a dealer on a used car bought from a UK dealer if I prepare UK export customs form and provide proof of VAT payment in Ireland?

Thanks

Ger (Louth)

Feb 2025 Filed under: importing

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Expert answer

Hi Ger,

Only if the car is VAT-qualifying (usually an ex-company car or demo) and the invoice clearly shows a separate VAT amount. Most cars sold by dealers in the UK are through the VAT Margin Scheme where the dealer only pays VAT on their profit margin. That VAT cannot be reclaimed on export of the car.

Before committing to a sale, talk through this with the dealer in question.

Shane O' Donoghue - Complete Car Advisor