Joan Burton (Dublin West, Labour)
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Question 345: To ask the Minister for Finance the figures or an estimate regarding the number of foreign cars being imported into Ireland by people working here paying vehicle registration tax and not paying vehicle registration tax; the liabilities each class of owner and vehicle has to vehicle registration tax, road tax, car insurance here, national car test and driver testing; the number of cars and the amount of vehicle registration tax and applicable road tax paid in respect of such vehicles for each year from 1998 to date in 2006 on an annual basis; and if he will make a statement on the matter. [5015/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The Deputy will be aware that responsibility for road tax, car insurance, national car test or driver testing does not lie with my Department. My reply, therefore, is in respect of vehicle registration tax only.

I am advised by the Revenue Commissioners that the information available in this regard refers to the number of cars, new and used, imported into Ireland and registered within the vehicle registration tax system. I attach a schedule giving details of gross registrations and net receipts of VRT for cars together with the total number of exemptions from VRT of new and used cars for the full calendar years 1998 to 2005 together with the applicable rates. However, in the registration process, it is not obligatory to provide the nationality of the persons importing the vehicles or to record whether the person is working here.

As a general rule, all vehicles imported permanently into the State must register for VRT purposes within 24 hours of arrival. This rule applies equally to vehicles imported by EU and non-EU persons. However, section 135(a) of the Finance Act 1992 permits a European or other foreign registered vehicle which is temporarily brought into the State by a person established outside the State to be exempted from the requirement to register for VRT purposes for a period normally not exceeding 12 months from the date upon which the vehicle concerned was brought into the State.

There is no requirement for vehicles imported under the temporary exemption provisions to be presented to the Revenue Commissioners to avail of the relief. Documents relating to ownership, registration or bringing into the State of the vehicle must be kept with the vehicle when it is in use in the State. When such vehicles fail to meet the conditions for temporary exemption they must be permanently removed from the State or presented for registration. The details of such vehicles are, therefore, not normally captured or held in the vehicle registration system.

The temporary exemption rules are in accordance with Article 39 of the EC treaty, which provides for the free movement of its workers within member states. The Deputy may wish to note that a reciprocal arrangement is also in place for residents of Ireland who bring cars temporarily to other member states.

The current rates of VRT in respect of cars is as follows:

Rates applicable since 1998 are as follows:

1998 (1 January 1998)

0-2500 cc Rate of Duty — 22.5%

> 2500 cc Rate of Duty — 28%.

1999 (1 January 1999)

0-1400 cc Rate of Duty — 22.5%

1401-2000 cc Rate of Duty — 25%

> 2000 cc Rate of Duty — 30%.

2003 (1 January 2003)

0-1400 cc Rate of Duty — 22.5%

1401-1900 cc Rate of Duty — 25%

> 1900 cc Rate of Duty — 30%.