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Reading a review of an Italian Rimor caravan in the new cc magazine, it says that £2200 is knocked off the list price because it is 40mm over 2.3m. 

"That's because the government has decreed that the supply of caravans that exceed 2.3m should attract a VAT rate of precisely zero.  Four little centimetres, one enormous price cut."

This sounds like the lunatics have really taken over the assylum.  If this is true then surely all manufacturers of narrower vans are going to start adding bits on the side to make them wider.

Brian

"But then they become too wide to be towed on UK roads unless you have a vehicle weighing in excess of 3500 kgs so it wouldn't be in their interest to do that surely?"

The new legislation being brought in would bring us into line with other EU countries and would allow the wider vans to be towed by vehicles under 3500kg.  This is upsetting the UK van manufacturers - see here.

Brian

Quote: Originally posted by brianconwy on 26/2/2010

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"But then they become too wide to be towed on UK roads unless you have a vehicle weighing in excess of 3500 kgs so it wouldn't be in their interest to do that surely?"

The new legislation being brought in would bring us into line with other EU countries and would allow the wider vans to be towed by vehicles under 3500kg.  This is upsetting the UK van manufacturers - see here.

Brian

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Brian

I suppose that would be the way the NCC would react! Perhaps they should have been a little more proactive in promoting a common European maximum width! Whilst it will be interesting to see how British manufacturers respond in the longer tern I very much doubt we will see a glut of wide European caravans on the market here. A lot of manufacturers have tried to break into the market and all but Hymer have failed to make an impression. Hobby are well known for their wider caravans but they don't make a model with a UK side door so again I don't envisage great inroads into the market. Mind you I bet as soon as the law changes the VAT rate will be the same as other caravans!

David

Would there be any problem in buying a wider caravan (wider than 2.3m) VAT free in Germany where VAT is currently 19% and then exporting it as a personal possession back to the UK ?    Would you then be liable for any form of taxation or duty ?      Just a thought.

 Roalnd.

Quote: Originally posted by rcowen on 28/2/2010

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Would there be any problem in buying a wider caravan (wider than 2.3m) VAT free in Germany where VAT is currently 19% and then exporting it as a personal possession back to the UK ?    Would you then be liable for any form of taxation or duty ?      Just a thought.

 Roalnd.

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If you are a UK citizen you would have to pay the German VAT at point of purchase assuming there is no distinction for VAT purposes in Germany . It is just a quirk of UK tax law that wide caravans are VAT free and I am sure will end any day soon!

David

"The same rules apply as with the twin-cab pick-ups, are only VAT free if you declare them as 100% business use. If any part of their use is private you have to pay the appropriate proportion in VAT."

Where have you seen this link?  According to the cc magazine review the van will be marketted as zero VAT.  In the link above there is no mention of business use.  Is there a link to a site explaining business use only?

Quote: Originally posted by sdrew56 on 28/2/2010

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So if I order a brand new UK built 7.6 foot van and specify as a option for example a oversize awning light which will be classed a fixture because it's screwed to the van to put it over 2.3 meters if the manufacturer would accommodate me I can save £2500 Vat.
Its certain that this loophole will be closed very quickly.   

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Quote: Originally posted by snowy747 on 28/2/2010

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I thought it was a consultation at this stage and not a done deal that the width will be altered in the UK?

As an aside, saw a Vauxhall Omega towing an overwidth Hobby on Friday, it was mahousive! How it was doing it I will never know.

Ali

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