Used Margin - Sales to Northern Ireland

Can we sell a used vehicle to a private individual in Northern Ireland under the margin scheme in GB? We do not have a dealership in Northern Ireland as we are based in GB.

Hi,

You can use the margin scheme for sales of second hand vehicles to private individuals in Northern Ireland. You can see guidance below for the changes which effect Northern Ireland businesses who sell vehicles bought under the margin scheme:

Sales of second-hand motor vehicles in Northern Ireland

Thank you.

If our garage in York purchased a vehicle for £10,000 and then sold it to Mr Smith in Belfast for £12,500 the Vat on the margin would be £416.67. When the vehicle arrives in Belfast will any additional Vat be due for the customer to pay as its being sold to a private individual?

Hi John Peake,
The customer in Northern Ireland should not have to pay any additional VAT when the vehicle arrives in Nothern Ireland and the only VAT to be accounted for will by by your business under the second hand margin scheme.
Thank you.