New vs Used Car VRT in Ireland
Same car, same CO2 rate — but a very different VRT bill. Here's exactly why used cars pay less, with a real worked example.
In This Essential Guide:
Quick Answer
Used cars almost always pay less VRT than the equivalent new car, because VRT is calculated as a percentage of OMSP (Open Market Selling Price), and Revenue reduces OMSP based on the vehicle's age. The CO₂-based percentage rate stays the same — only the value it's applied to shrinks.
Why Used Cars Pay Less VRT
VRT = OMSP × CO₂ rate + NOx levy. The CO₂ rate depends only on emissions, not age — a 5-year-old car with 120g/km CO₂ pays the same 16% rate as a brand-new car with 120g/km CO₂. What changes is the OMSP: Revenue applies standardized depreciation as a car ages, so the same percentage rate is applied to a smaller number.
See our full VRT calculation guide for the depreciation table Revenue uses, or the Used Car VRT Calculator for an instant estimate on your specific vehicle.
Worked Example: Same Car, New vs 3 Years Old
| New | 3 Years Old | |
|---|---|---|
| OMSP | €35,000 | €19,250 (45% depreciation applied) |
| CO₂ (WLTP) | 120g/km | 120g/km (same model) |
| VRT rate | 16% | 16% (unchanged) |
| CO₂ component | €5,600 | €3,080 |
| NOx levy (petrol default) | €600 | €600 |
| Total VRT | €6,200 | €3,680 |
Figures verified against the same formula used by our Car VRT Calculator. Actual OMSP and depreciation depend on the specific vehicle and Revenue's valuation at registration.
Revenue's Depreciation Table
| Age of Vehicle | Depreciation (Approx) | Residual OMSP % |
|---|---|---|
| 0-3 Months | 5% | 95% |
| 1 Year | 20% | 80% |
| 3 Years | 45% | 55% |
| 5 Years | 65% | 35% |
| 10+ Years | 85%+ | 10-15% |
Estimate Your Own VRT
Use the Used Car VRT Calculator for an instant estimate on your specific vehicle.
Calculate Used Car VRTFAQs
Does a used car always pay less VRT than a new one?
Almost always, for the same model and CO2 figure — because VRT is a percentage of OMSP, and OMSP falls as Revenue applies age-based depreciation. The CO2 rate percentage itself doesn't change with age, only the OMSP it's applied to.
How much does OMSP depreciate per year?
Revenue uses a standardized depreciation curve: roughly 5% at 0-3 months, 20% at 1 year, 45% at 3 years, 65% at 5 years, and 85%+ at 10+ years. Exact figures vary by make/model and condition.
Is it ever cheaper to buy new?
Yes, when the new car has a much lower CO2 figure than a used alternative — a brand-new low-emission model can have a lower VRT rate than an older, higher-emission used car, even before accounting for OMSP depreciation.
Does mileage matter as well as age?
Yes. If a used car has significantly higher mileage than typical for its age, you may get a further OMSP reduction on top of the standard age-based depreciation, lowering VRT further.