Inheriting a car from someone abroad usually arrives at a difficult time, and the idea of paying import tax on it can feel like insult on top of loss. HMRC has a relief for exactly this. If the conditions are met, an inherited car can come into the UK without import duty or VAT, and the paperwork is lighter than most people fear.
The relief in brief
GOV.UK's guidance on inherited goods says you can claim relief from import duties and VAT on personal goods inherited from someone who has died. Private motor vehicles are named in the list of goods it covers, along with caravans and trailers.
Without the relief, the usual rates apply. That is 20% VAT on a car coming from the EU, or 20% VAT plus 10% duty from outside it, and 5% VAT with no duty on a car over 30 years old. On a valuable car, the relief is worth having.
Who can claim
GOV.UK says you can claim if you inherit goods from a deceased person and you are either:
- A UK resident
- A non-profit making company established in the UK
The guidance also covers where the person who died lived. It says relief can be claimed where they were resident in the UK and their property was outside the UK when they died, or resident outside the UK and the property had already been temporarily admitted into the UK.
In nearly all cases, you cannot claim before the death of the current owner, even if you know the car is left to you in their will. GOV.UK sets out a narrow exception involving an earlier will and an owner who has renounced ownership or been judged unable to manage their affairs. If that might apply, read the guidance in full.
What the relief does not cover
GOV.UK lists goods that do not qualify. The ones that matter for vehicles are:
- Commercial vehicles
- Goods bought from the executor of the estate
- Goods bought or received as a gift from the person who legally inherited them
That last pair is the one to watch. If a relative inherits the car and then sells or gives it to you, it is no longer an inheritance in HMRC's eyes. The relief belongs to the person named as inheriting it.
The proof HMRC wants
When the car is imported, GOV.UK says you must provide a copy of the will, certified by the executor or the person winding up the estate, and a declaration on form C1421. If the person died without a will, the legal documents that apply instead are used.
If the car is not named in the will, for example because it is part of the residue of the estate, HMRC needs a list of the goods and their approximate value. That list must come from the executor or the person winding up the estate, with confirmation that the car passed to you. Documents in another language are easier with a certified translation.
Paperwork for an inherited car
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Keep the original registration document. The DVLA needs the original foreign registration certificate to register the car, and you do not get it back. Ask the executor to keep it safe and send it with the car, not copies.
Claiming at the border
GOV.UK says to claim the relief at the time of import. For a car shipped as freight, that means the claim goes on the import declaration on HMRC's Customs Declaration Service, using the procedure codes for inherited personal property. We clear cars as HMRC CDS authorised agents, so that part is ours to do once you have sent us the documents. GOV.UK says you must give clear written instructions to anyone claiming a relief on your behalf.
If the documents are not ready when the car arrives, HMRC can ask for security, normally a cash deposit or bank guarantee, to cover the duty and VAT before releasing the car. It discharges the security later if it is satisfied you qualify. GOV.UK also says HMRC may accept a late claim and repay the charges, subject to conditions. Both are slower and more stressful than claiming at the start.
Time limits
GOV.UK says the goods should be imported within 2 years of the date the estate is finally settled. If something exceptional stops that, you can send evidence to HMRC's National Imports Reliefs Unit and ask for more time.
After the car is here, you must keep receipts, invoices, insurance documents and any letters from the National Imports Reliefs Unit for at least 4 years. GOV.UK also says to tell that unit if you dispose of the car or transfer it to someone else.
From relief to registration
The relief deals with the tax. The car still needs everything else any import needs before it can go on the road.
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Before shipping
Documents together
Certified will or legal documents, form C1421 and the original registration document.
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Arrival
Customs with relief
We clear the car on CDS with the inherited goods relief claimed.
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Within 14 days
NOVA
HMRC is told the car has arrived. The DVLA will not register it without NOVA.
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Preparation
Approval
IVA, MOT or a Certificate of Conformity, depending on the car’s age and where it is from.
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Within 10 working days
DVLA registration
We register the car through our dealer-level DVLA account.
Until it is registered, GOV.UK says the car cannot be used on a public road, other than to a pre-booked MOT or approval test. With testing on our own site, that is not something you need to arrange. Our guides to NOVA and what happens when the car arrives go through these steps, and the paperwork guide covers what to collect from each country.
Older and classic cars
Inherited cars are often older ones that have been in the family for years. A car over 40 years old may not need an MOT, but the DVLA can want dating evidence to register it with an age-related number. Our guides to importing a classic car and number plates for imported cars explain why the original documents matter.
If you are moving here too
If the car is coming with you because you are moving your home to the UK, Transfer of Residence relief may be the better fit. It has its own conditions, including having owned and used the car for at least 6 months. Our Transfer of Residence guide explains them, and we can help you work out which relief applies.
Questions people ask
Do I pay import tax on an inherited car?
Not if you qualify for HMRC’s relief on inherited goods. GOV.UK names private motor vehicles among the goods it covers, for UK residents who inherit from someone who has died.
What form do I need for an inherited car?
GOV.UK says you need a copy of the will certified by the executor, or the legal documents if there was no will, and a declaration on form C1421.
Is there a time limit to bring an inherited car to the UK?
GOV.UK says the goods should be imported within 2 years of the estate being finally settled. HMRC’s National Imports Reliefs Unit can consider exceptional circumstances.
Can I claim if a relative inherited the car and gave it to me?
No. GOV.UK excludes goods bought or received as a gift from the person who legally inherited them, and goods bought from the executor.
Does an inherited car still need registering?
Yes. The relief covers duty and VAT only. The car still needs NOVA, vehicle approval and DVLA registration before it can be driven on UK roads.
Bringing an inherited car home? Tell us about it on the quote form and we will take you through the paperwork.
