Some 6,500 people will receive a cheque in the mail reimbursing them for VAT paid when they had bought their car in 2007, Transport Minister Ian Borg said.

Addressing a press conference, Dr Borg said the reimbursement would amount to some €4.8 million. Rates varied from between just €10 to €14,000.

People who registered a vehicle between January 1 and December 31, 2007 will be refunded the value added tax they paid on the registration tax. The same process was adopted for the previous four years and the scheme will also cover payments made in 2008.

Nearly €14million have been paid out so far, Dr Borg said.

The refund may be claimed on Category M1 vehicles registered for personal use (vehicles comprising no more than nine seats), Category NI vehicles (vehicles used for the carriage of goods not exceeding 3.5 tonnes), motorcycles and quad bikes. Government vehicles, vehicles used for hire, taxis and vehicles used for commercial purposes are not eligible.

All vehicles must have been registered and licensed in Malta.

The refund must be claimed by the first licensed owner, irrespective of whether the vehicle is still in his or her possession – meaning that even if the vehicle was subsequently sold or scrapped, the original owner is still eligible for the refund.

The scheme does not include licensed vehicle dealers or importers, unless the dealer or importer proves that the vehicle was registered and licensed in his or her name and intended for personal use.

In the case of deceased persons, Dr Borg said arrangements had been made for the heirs and next of kin to receive the payment instead.

Further information can be obtained on freephone 8007 2373 or via email on grantscheme.tm@transport.gov.mt .