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Proportionate payment of VRT on leased vehicles

  1. Overview
  2. How a vehicle qualifies
  3. Leasing company application
  4. Customer application
  5. Declaration and registration
  6. Extending a lease
  7. Retention of the vehicle
  8. Export procedure

Declaration and registration

When the application process is complete, the system will require you to sign and submit a declaration. If approved, your successful application will be linked to your vehicle’s Vehicle Identification Number.

The application is subject to a non-refundable administration charge of €100, payable at the time of registration. This applies regardless of whether your application is successful or not.

The normal requirements for vehicle registration (documents required to be submitted) will continue to apply at the vehicle registration stage.

Please note that it is only at registration that the proportionate Vehicle Registration Tax (VRT) will be calculated. It will not be possible to assess in advance the potential Vehicle Registration Tax liability due.

The following examples show how the calculation works in practice.

  • Example 1

    Proportionate payment calculation – 12 month lease

    12 month lease
    Lease begin dateLease end datePeriod of leaseVRT amount on vehicle
    14 September 2019 13 August 2020 12 months €10,000

    VRT due under Scheme

    - 21% is the proportionate rate applicable to a 12-month lease.

    - The amount of VRT due at registration is therefore 21% of the full VRT calculated.

    Total to be paid at registration

    VRT at the proportionate rate = €10,000 * 21% = €2,100 + the €100 administration charge = €2,200

  • Example 2

    Proportionate payment calculation – 26 month lease

    26 month lease
    Lease begin dateLease end datePeriod of leaseVRT amount on vehicle
    30 September 2019 1 October 2021 26 months €10,000

    VRT due under Scheme

    - 35% is the proportionate rate applicable to a 26-month lease.

    - The amount of VRT due at registration is therefore 35% of the full VRT calculated.

    Total to be paid at registration

    VRT at the proportionate rate = €10,000 * 35% = €3,500 + the €100 administration charge = €3,600

Next: Extending a lease

Published: 27 December 2023 Print this page

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