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Edited version of private advice
Authorisation Number: 1012634544851
Ruling
Subject: LCT and armoured vehicles
Question
Are the specially modified security vehicles that are fitted with sirens and flashing warning lights, emergency vehicles mentioned, or in a class of vehicles that are mentioned, in an item of Schedule 1 of the A New Tax System (Luxury Car Tax) Regulations 2000 (LCT Regulations)?
Answer
Yes, the specially modified security vehicles that are fitted with sirens and flashing warning lights are emergency vehicles mentioned, or in a class of vehicles that are mentioned, in an item of Schedule 1 of the LCT Regulations and as such are not subject to luxury car tax.
Relevant facts and circumstances
This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling.
The relevant facts were submitted.
Relevant legislative provisions
Section 5-5 of the A New Tax System (Luxury Car Tax) Act 1999
Paragraph 25-1(2)(a) of the A New Tax System (Luxury Car Tax) Act 1999
Regulation 25-1.01 of the A New Tax System (Luxury Car Tax) Regulations 2000
Item 5 in Schedule 1 to the A New Tax System (Luxury Car Tax) Regulations 2000
Reasons for decision
Question
Are the specially modified security vehicles that are fitted with sirens and flashing warning lights, emergency vehicles mentioned, or in a class of vehicles that are mentioned, in an item of Schedule 1 of the A New Tax System (Luxury Car Tax) Regulations 2000 (LCT Regulations)?
Summary
Yes, the specially modified security vehicles that are fitted with sirens and flashing warning lights are emergency vehicles mentioned, or in a class of vehicles that are mentioned, in an item of Schedule 1 of the LCT Regulations and as such are not subject to luxury car tax.
Detailed reasoning
Meaning of car for LCT purposes
Emergency vehicles
Section 5-5 of the A New Tax System (Luxury Car Tax) Act 1999 (LCT Act) provides that luxury car tax is payable on the supply of a luxury car. However paragraph 25-1(2)(a) of the LCT Act excludes a car from the meaning of a luxury car if it is a vehicle that is specified in the regulations to be an emergency vehicle, or that is in a class of vehicles that are specified in the A New Tax System (Luxury Car Tax) Regulations 2000 (Regulations) to be emergency vehicles.
LCT Regulation 25-1.01 provides that for paragraph 25-1(2)(a) of the LCT Act, a vehicle is an emergency vehicle if:
• it is mentioned, or is in a class of vehicles that is mentioned, in one or more of the items in Schedule 1
• and is the subject of a statement in the approved form given to the supplier at the time the vehicle is supplied
• and to the effect that the vehicle is to be used only as an emergency vehicle of the kind described in the statement
Schedule 1 to the Regulations provides that a specific vehicle equipped with a siren and flashing warning lights is an emergency vehicle.
The specially modified security vehicles will be fitted with sirens and flashing warning lights, therefore it needs to be determined if the vehicles are a specific vehicle or a class of 'specific vehicle', for the purposes of an item in the Schedule.
In this case, the specially modified security vehicles are considered to be in a class of vehicles that is mentioned, in an item of Schedule 1 to the Regulations. Therefore, the specially modified security vehicles are not luxury cars for the purposes of the LCT Act and as such are not subject to the luxury car tax.