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Tax relief for disabled drivers and disabled passengers

At Kevin O'Leary Group we understand the technical requirements of the Disabled Driver and Disabled Passenger Schemes and can arrange both the modification of the vehicle and the completion and submission of all required paperwork to allow you benefit from the tax reliefs available.

If you have any questions in relation to this scheme please contact us today

Information

The Disabled Drivers and Disabled Passengers Scheme provides a range of tax reliefs linked to the purchase and use of vehicles by disabled drivers and disabled passengers in Ireland. Under the terms of the scheme, you can claim remission or repayment of vehicle registration tax (VRT), repayment of value-added tax (VAT) on the purchase of a vehicle and repayment of VAT on the cost of adapting a vehicle, up to a maximum of €9,525 for a disabled driver and €15,875 for a disabled passenger.
Relief is limited to a vehicle that has been specially constructed or adapted for use by a disabled person and that has an engine size of less than 2,000cc in the case of the driver and 4,000cc in the case of the passenger.
If you qualify for tax relief under the scheme, you can also claim repayment of excise duty on fuel used in your vehicle for the transport of a disabled person, up to a maximum of 600 gallons per year. In addition, if you qualify under the scheme, your vehicle may be exempt from the payment of annual road tax on application to a Motor Tax Office.
Specially adapted vehicles driven by disabled drivers are entitled to exemption from toll road fees. Toll road operators issue special passes which are recognised by all other toll road operators and which allow such vehicles pass through the tolls without paying.

Rules

In order to qualify for tax relief under the scheme, you must have a valid Primary Medical Certificate.

Disabled Drivers

You can claim tax relief on

  • A new vehicle
  • A used vehicle that has been purchased from an authorised dealer and that has not been previously registered in the state

You can also buy a previously registered used vehicle, in which case the amount of the repayment will be the residual tax contained in the value of the vehicle.
If you bought the vehicle before you qualified as a disabled driver, a repayment of VAT and VRT, appropriate to the market value of the vehicle at the time of entry to the scheme, will be made.

Disabled Passengers

You can claim tax relief on

  • A new vehicle
  • A used vehicle that has been purchased from an authorised dealer and that has not been previously registered in the state

You can also buy a previously registered used vehicle, in which case the amount of the repayment will be the residual tax contained in the value of the vehicle.
If you bought the vehicle before you qualified as a disabled person, a repayment of VAT and VRT, appropriate to the market value of the vehicle at the time of entry to the scheme, will be made.
The pre-tax cost of adapting the vehicle must amount to at least 10% of its pre-tax cost.
A vehicle that has been acquired under a hire-purchase agreement qualifies for tax relief.

Residency

A family member of a disabled passenger can also qualify for relief provided he/she is living with and responsible for the transport of the disabled person in question and has acquired the vehicle for that purpose.
If the disabled person only stays with a family member on a part-time basis, the residency requirement is not met. However, if the disabled person is a minor who is in residential or medical care on a part-time or occasional basis and who spends a significant part of his/her time at home, e.g., every weekend and holidays, the residency requirement may be met. The Revenue Commissioners may, in exceptional circumstances, waive the residency requirement.
You should contact the Central Repayments Office to make sure that you meet the residency requirements for relief under the scheme before purchasing a vehicle.

Restrictions on disposal

The vehicle must not be disposed of for at least two years from the date the relief is granted.
You will only be allowed to dispose of the vehicle within the two years if you refund to the Revenue Commissioners a substantial portion of the relief allowed, calculated by reference to the value of the vehicle at the time of disposal. "Disposal" means the sale of the vehicle, the gift of the vehicle to another person and the hiring or renting of the vehicle.
If the vehicle is disposed of following damage in an accident, the damage will be taken into account in calculating the value of the vehicle at the time of disposal.

Call us today...

Silversprings 021 4503397 Bandon 023 8841264 Clonmel 052 6127888 VTN Douglas 021 4503397