Couple say they bought vehicle for under €3,700 and paid over €11,500 in taxes

A couple yesterday filed a judicial protest claiming that the Prime Minister, the Minister for Urban Development and Roads and the Malta Transport Authority (ADT) violated European law because of registration tax and VAT on the importation of...

A couple yesterday filed a judicial protest claiming that the Prime Minister, the Minister for Urban Development and Roads and the Malta Transport Authority (ADT) violated European law because of registration tax and VAT on the importation of second-hand cars.

William and Anna Grech claimed that last October they bought a second-hand Land Rover Freelander in an international auction for the price of £4,950, equivalent to €3,693.69. The vehicle was registered in the United Kingdom, a member of the European Union.

Although the registration tax on the vehicle had already been paid in the UK, the ADT had asked them to hand over the licence plates and the logbook. The authorities had also asked them to register the vehicle anew in Malta and to pay a first registration tax and VAT in the sum of Lm4,956, equivalent to €11,544.37.

They paid that amount under protest and demanded the return of the registration plates and the logbook.

The Grechs are alleging that the ADT's action in imposing a new registration tax and VAT were illegal and abusive and in violation of EU laws as interpreted and applied by the European Court of Justice.

They added that the Minister for Urban Development and Roads was responsible for what the ADT did; the Prime Minister was responsible for the implementation of Malta's treaty with the EU and EU laws.

In conclusion, the Grechs called on the authorities to refund the sum of €11,544.37 they had paid under protest and to return to them the logbook and licence plates.

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