Extension of Vehicle Registration Tax Relief on Electric Vehicles
The Vehicle Registration Tax (VRT) relief for electric vehicles (EVs), which was due to end on 31 December 2026, will be extended for two years to end-2028. EVs with an Open Market Selling Price (OMSP) of up to €40,000 will continue to be granted VRT relief of up to €5,000, while EVs with an OMSP of greater than €40,000 but less than €50,000 receive a reduced level of relief.
Increase of 1% on Category A Vehicle Registration Tax Bands 3-20
From 1 January 2027, the Category A VRT percentage rates applicable to bands 3 to 20 inclusive (cars with CO2 emissions of more than 80g/km and upwards) will be increased by 1%. The rates applicable to bands 1 and 2 will remain unchanged.