Written answers
Tuesday, 6 March 2012
Department of Environment, Community and Local Government
Motor Taxation
8:00 pm
Ciarán Lynch (Cork South Central, Labour)
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Question 371: To ask the Minister for the Environment, Community and Local Government the state of legislation with regard to regulating declarations of non-use of a vehicle filed with the Garda; if there is any legislative or administrative facilitation of car insurance providers communicating with local Garda as to the operating or suspension of insurance with regard to an owner's vehicle; if he intends to bring forward legislative proposals to deal with this matter; if he will give an indication as to any estimated sum at present being lost to the Exchequer arising from abuse of the present system; and if he will make a statement on the matter. [12757/12]
Phil Hogan (Carlow-Kilkenny, Fine Gael)
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It is estimated that the annual loss arising from vehicle owners declaring their vehicles off the road is in the region of €84m. I intend to bring forward legislation this year to address the issue of off-the-road declarations. Currently, owners declare vehicles off the road for the purposes of motor tax after the fact, which is effectively unverifiable and open to abuse. I intend to provide that drivers will be able to declare their intention to keep their vehicle off-the-road in advance, so that if a vehicle is not to be used on a public road for a number of months, the owner will be able to inform the relevant authorities before taking the car off the road rather than afterwards, and so avoid a future liability for motor tax. As the new system will not allow for a retrospective declaration that a vehicle was off the road, there will not be any need for a verification check with motor insurers.
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