How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask bigduckontax Your Own Question
bigduckontax, Accountant
Category: Tax
Satisfied Customers: 4207
Type Your Tax Question Here...
bigduckontax is online now

I bought a new car from Porsche in Germany and immediately

Customer Question

I bought a new car from Porsche in Germany and immediately imported it into the UK. Porsche Germany made me pay vehicle tax on the car before I was able to pick it up, despite the fact that it was never driven in Germany. Can I claim this vehicle tax back as the car is taxed and registered in the UK?
Submitted: 1 year ago.
Category: Tax
Expert:  bigduckontax replied 1 year ago.
Hello, I am Keith, one of the experts on Just Answer, and happy to help you with your question.
Germany does not have a Road Fund Tax as e know in in Britain, such matters are recovered through the taxation of petrol in that country. The tax deducted thus represents a form of what we used to call Purchase Tax although that has long gone. You cannot claim this back from Germany, but under the Double Taxation Convention between the UK and Germany such taxation can only be claimed in one jurisdiction.
On importation Customs will charge Import Duty and VAT and put the vehicle in bond until these are paid. You will have to negotiate with that Department reduction in the Import Duty from the tax credit for the German Tax already deducted. The Convention does not, however, protect you from differences in rates of taxation.
I do hope that my reply has been of assistance.
Customer: replied 1 year ago.
We have paid VAT on the vehicle in the UK and reclaimed the VAT paid in Europe. We did not have to pay any import duty on the vehicle so I guess that means we have no avenue for reclaiming the tax paid in Germany?
Expert:  bigduckontax replied 1 year ago.
I fear not, but my reaction would be to try; they can only say no. A trawl through the net indicates that VAT can certainly be reclaimed if charged, but no mention is made of German Vehicle Tax. Rather going out with a whimper as opposed to a bang, so sorry.
Customer: replied 1 year ago.
To be honest that is pretty much what I expected thanks
Expert:  bigduckontax replied 1 year ago.
So sorry to have to rain on your parade.
Please be so kind as to rate me before you leave the Just Answer site.
bigduckontax and other Tax Specialists are ready to help you
Expert:  bigduckontax replied 1 year ago.
Thank you for your support.