Export VAT qualifying cars from any UK dealer.
Exporting a VAT qualifying car from a non export dealer in the UK needn’t be a problem. If a UK dealer isn’t experienced with export, they may tell you they can’t sell the car to you. We help many clients export the car they have found online. We simple take over the transaction and sell the car to you VAT free and export it for you.
How it works
We buy the car on your behalf.
We sell it to you net of UK VAT.
We export it to your country in the usual way.
This keeps the sale simple for the dealer as it’s a UK transaction for him. We manage the VAT reclaim as part of our service. We sell you the car net of UK VAT and export it professionally with our expert team. We work together with many UK dealers to assist with VAT free car export for our overseas clients.
So if you have found a VAT qualifying car that you would like to export, get in touch. We’ll be delighted to help.
VAT on cars - FAQs
Is there a list of vat qualifying cars?
We have designed our stock pages to share the VAT qualifying cars for sale in the UK today. This provides you with a great shortcut to see UK cars for sale which are advertised VAT qualifying.
Who can reclaim the VAT on cars?
The supplying dealer can reclaim the VAT on a car if they are VAT registered in the UK. VAT can no longer be reclaimed by private UK residents or overseas individuals.
How much is VAT on cars?
UK VAT is 20% of the cars selling price. This equates to one sixth of the advertised price. (advertised price divided by 1.2 will give you the car’s price net of UK VAT)
Is VAT deductible on all UK cars?
To be VAT deductible, a car must be VAT qualifying.
Is VAT on second hand cars?
VAT is applied to all second hand cars. The cars must be VAT qualifying to be eligible for the VAT to be deductible.
Is VAT on new cars?
VAT is automatically applied to new cars. But all new cars are VAT qualifying until the are sold to a private individual. They continue to be VAT qualifying throughout their life until then.
Is VAT on lease cars?
Lease cars are also VAT qualifying if they have been lease cars since new and only owned by VAT registered businesses.
Is VAT on electric cars?
VAT is applied to electric cars in the same way it applies to petrol and diesel cars.
Can you claim VAT back on electric cars?
You can claim VAT back on electric cars in the same way you can for petrol and diesel cars.
How is VAT calculated on cars?
VAT is added as 20% on top of the car’s price. To calculate how much you will save, divide the cars advertised price by 1.2.
For example
Advertised price = £60,000 (inc VAT)
Divided by 1.2 = £50,000 (net of VAT)
The VAT is £10,000 (Vat saving if reclaimed)
Can I reclaim the VAT on a car?
Since Brexit it is no longer possible for individuals to reclaim UK VAT. VAT registered businesses are eligible to reclaim UK VAT on purchases they have made for their business subject to their accountants advising of the correct way of doing this.
How much VAT can I claim back?
One sixth of the gross Vat price (see the calculation example above).
How do I know which cars can have the VAT reclaimed?
The car must be VAT qualifying. This is not always clear and so you must ask the dealer. However, if they don’t want to bother with VAT reclaim then they may not be entirely truthful. They may just want to put you off.
Do all cars have VAT on them?
Almost all UK cars are advertised with VAT included in the price. Establishing if a car is VAT qualifying is the first essential step to understanding if it is eligible for the VAT to be reclaimed under the right circumstances.
Do I have to pay the VAT when I buy a car?
A private sale requires the buyer to pay the UK VAT. If you buy your car using a professional export service they can sell it to you VAT free when your car is permanently exported and the transaction meets the requirements.
Can car dealers reclaim the VAT on cars?
If the car dealer is VAT registered in the UK and their accountant has advised they can reclaim the VAT and demonstrated the correct way and the car meets the right conditions, yes they can. But they may not want to.
Personal Export Scheme
We support clients buying via the Personal Export Scheme if they are able to meet all the criteria laid out by HMRC.
