Time is running out if you want to avail of the government scrappage scheme. So if you are coming late to the scrappage party, what do you need to know?
Scrappage? Remind me again what it is all about?
The scheme provides VRT relief when a new passenger car with CO2 emissions of not more than 140g/km (CO2 Band A or B) is purchased and registered and another passenger car, over ten years old is scraped. The scheme runs until the end of June.
How much do I get off the new car?
This year, the government allow €1,250 off the price of qualifying vehicles, which is a little less than the €1,500 allowed last year. However this price is often just the starting point, with many brands offering additional support against your purchase. Some manufacturers match the allowance, some offer thousands off the price. Renault offers the most generous pricing incentives for scrappage customers.
Remind me again how I qualify?
The car you present must be registered in the State in the name of the registered owner of the new car for at least 18 months immediately prior to the date of scrappage. So, no, you can’t bring in your brother’s or uncle’s old banger and get a shiny new car for yourself. The car must be ten years old or more from the date of first registration. The car must be scrapped within 60 days of the date of the new car being registered, or have been scrapped within 60 days immediately before the date of the new car being registered. It must have a valid NCT certificate, or one that has expired no more than 90 days immediately before the date of scrappage or documentation to indicate that it has been presented for and failed an NCT roadworthiness test in the previous 6 months. It also must have been insured for use on the road in the name of the registered owner or in the name of the spouse of the registered owner for at least 12 months in the 18 months immediately prior to the date of scrappage.
Where do I scrap the car?
If you are trading the car in against a new one, your car dealer will usually take care of all this for you. You can do it yourself though if you wish. The car must be scrapped at an Authorised Treatment Facility (ATF). ATFs are legally bound to scrap vehicles in a controlled, environmentally friendly way, under the aegis of the Department of Environment, Heritage and Local Government. When you present your car for scrapping, the ATF will issue you with a Certificate of Destruction for the car. Unless you have a Certificate of Destruction from an ATF you will not be eligible for the relief.
So if I order a new car now and it arrives in July will I still get the VRT relief?
No. You need to have the car registered before the 30 June to qualify. So that really does mean that time is against you. If you want to avail of the scheme, you need to buy a car that a dealer has in stock. Most of the major brands are reporting decent stock levels.
So if I have registered the car before the end of June, but the car has yet to be scrapped am I still okay?
No, the 30 June deadline is very strict, so you need to have the old car scrapped and the new car registered before this date. Anyone going into a dealer a couple of days before the deadline is likely to end up disappointed.
I taxed my car for a year in January and now I am going to scrap it. Will I get this money back?
Yes you can. You may reclaim any motor tax remaining on the scrapped vehicle in excess of three months. Details of how to do this can be found on the Department of the Environment, Heritage and Local Government websites.