Those who buy their vehicles before GST comes into force – but arrange to have them delivered to the Island after 6 May – will avoid paying both Vehicle Registration Duty and GST.
Since the States agreed to abolish VRD when GST is introduced, those having cars delivered to the Island after 6 May will not pay the tax.
But if they paid for their cars before GST comes into force, they do not have to pay the 3% tax when their cars arrive.
This means they avoid paying both GST and VRD on their new car – saving them up to £1,000 on a 2-litre car.
Owen Lewis, sales director at Bikers and Jersey Harley-Davidson , explained: ‘With new scooters costing around ?1,000 the reduction in VRD of ?30 is countered by 3% GST of ?30 so there will be no significant change in the cost of the bike.
‘However a typical Harley-Davidson will see a price cut of around ?300 and other models could see a price reduction of up to 5%.’
