Published: Wednesday, 11th November, 2009 5:00pm
An organisation that lobbies on behalf of motorists, and has the specific target of mounting a legal challenge to vehicle registration tax (VRT), is planning to open a branch in Cavan.
The Irish Drivers Association is holding a public meeting in the Hotel Kilmore on Wednesday, November 25 at 8.30pm, and all interested parties are invited.
"It's our understanding that VRT is an import/customs duty in disguise under Articles 25 and 90 of the Treaty of Rome," said Brian McDermott, a member of the association who lives in Cavan and is pushing to establish a branch here.
He said the Irish Drivers Association believes VRT is a prohibited tax under the treaty and as citizens of this state, we prohibited this tax when we agreed to join the EU by passing the 1972 referendum.
"The association have decided to legally challenge VRT under the Treaty of Rome in addition to section 140 of the 1992 Finance Act, which gives effect to VRT on new and imported vehicles into the state," he added.
The Irish Drivers Association was founded in Clare in 2003 and now has branches across the country. It maintains the government and civil servants have continually ignored the concerns of motorists, who contribute billions of euro each year.
"The government are ripping-off the motorist, denying our rights under European law and our legitimate expectations are being unfulfilled. By joining this association, together, we can make a difference," said Mr. McDermott.
He said the national chairman John Lernihan and the Donegal chairman John Doherty will be present at the Cavan meeting, as well as the association's solicitor, all of whom will be able to answer questions from those who attend.
The Irish Drivers Association says that regardless of what name is attached to it, VRT is a customs duty. "It's charged within 24 hours of the vehicle arriving within the jurisdiction and is triggered by the fact that it has crossed a border and by possession of the vehicle alone," said Mr. McDermott.
He said the tax impedes the free movement of goods and breaches a fundamental objective of the EU. "In other words changing the name does not alter the nature of the tax. If the government considers this not to be a customs duty why is there a requirement to pay VRT within 24 hours, even if the vehicle may not be used for months?"
The association is already challenging the seizure of vehicles related to VRT as this infringes constitutional rights to own property, and refers to articles 15 and 43 of the Irish Constitution.
Breach
"VRT also breaches the principle of proportionality, which also interferes with the peaceful enjoyment of possessions. The principle of proportionality means that the state's actions should be in proportion to the alleged offence. A car worth €25,000 shouldn't be seized for non payment of a dubious tax of say €4,000.
"The effect of VRT implemented by the 1992 Finance Act circumvented an EU prohibition on customs duty (Article 25). Customs duty on vehicles disappeared on December 31, 1992 and the following day a new tax called VRT replaced it. This was brought about by the action of the people you voted for, the Oireachtas, and effectively overrode EU law.
"It can't do that because EU law is supreme in terms of community matters and in the promotion of free movement of goods, fundamental freedoms under the Treaty of Rome and the implementation of the Single European Market."
He said that for those reasons - and others, which will be outlined at the November 25 meeting - the Irish Drivers Association says it is necessary to challenge VRT and restore fundamental rights under EU and Irish constitutional law.
"We would welcome donations from existing and new members to help us in this cause as it would benefit all motorists and citizens with a vested interest in seeking a positive outcome," said Mr. McDermott. "We thank you for any support that can help us achieve our aim. Receipts will be given for all donations received," he added.
Contact Brian McDermott on 087-2691033 or see irishdrivers.org/ for more details.
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