Import duty / vat - ask the experts time :)

[Manxmann]

Hey chaps,

Long time no posts, cars been working so least said the better

Anyhow I need your help with another car related question. I've been looking at a nice SVT/Cobra Mustang from the early 90's, the first SVT tweaked cars to emerge from Ford and a rare beast in the states let alone here.

So the confusion I have is the present owner is an US service man who imported the car when he was posted over here, so far so good. Talking to him the car is now registered in the UK and he holds a V5, however he has paid, nor been asked to pay, any import duty / vat as this will be liable when / if he sells the car.

I've been looking into what happens if/when I buy the car, i.e. who pays the duty / how much it would be etc etc

The guy who's selling doesn't have a clue who to ask or any of the details as to what forms and values.

Any pointers would me much appreciated.

[A Van]

Well if it has a V5 my understanding is that all tax liabilities have to be paid to even get to the registration stage.

Prob find import duty is waived for Military?

Unless the rules are different and it's only pay able once the car is sold... But who would come after you or him for the money? Can't see the owner details being changed trigger anything?

How is the Bricklin?

[Darren C]

A few years ago I bought an Audi from an Army guy who'd purchased the car in Germany on the "NATO" servicemans tax free scheme. When he returned to UK (before the days of EU) He got a V5 and was exempt from tax on the "import" As the second owner and buyer I was not liable for any tax on it either.

As Alistair says if the car has a V5 you should be free from the import tax liability.
More so if he owned the car for more than 6 months in the US before bringing it over. That would make it entirely import tax free.

Good to hear from you Manx

[Manxmann]

Cheers guys, knew someone would have experience with this.

Yes everything I read said if he had a V5 everything was clear, but he seemed to think differently.

Bricklin is coming along slowly. She starts on the button and runs well. I just have a couple of niggles to sort and the bodywork. Distracted by another temptress

[Dangermouse]

FWIW, as it is a tax exemption and not a tax deferment, I would assume that you are in the clear