SIMI welcomes car sales but calls for VRT end
The Society of the Irish Motor Industry has welcomed increased car sales in the first quarter of 2005 but called for an end to VRT.
SIMI statistics shows that total passenger car registrations for the month of March were 24,895, up 7.35% on the same period in 2004.
Year to date statistics (to end of March 2005) show passenger car registrations at 88,029, up 14.42% on the same period last year.
But they also noted motorists pay over €830m tax on new cars in that first quarter and called for an end to VRT.
Cyril McHugh, chief executive, SIMI said "Whilst it is heartening to see that new car registrations have increased by 14% in the first quarter of 2005, it is also important to highlight the simultaneous increase of the total tax take from motorists in the same quarter, which was 18% up on the same period last year.
"These bumper returns, which the motorist provided for the exchequer, include €555m in Vehicle Registration Tax (VRT) and €279m in VAT.
"Given the enormous taxation burden on the motorist, it is now time for the Government to follow the strong recommendation of the European Commission and start to phase out the iniquitous VRT system."
