The scam exploits a rule in Vat law which exempts people from paying tax on an imported car if it has more than 6,000 kilometres on the clock. To avoid paying the tax, motorists usually import the car from the North or Britain, clock up the mileage on it in the Republic and then declare it to Customs as a newly-acquired “old'‘ car. They also reduce their exposure to vehicle registration tax (VRT), which is charged at 30 per cent of the selling price of the car on the open market.