THE HIGH Court has reserved judgment on a challenge by a car dealer to a Revenue Commissioners seizure of four racing cars from his premises during a raid as part of an operation by the Criminal Assets Bureau.
Lee Cullen, owner of Exclusive Cars, Saggart, Dublin, is in dispute with the Revenue over whether the cars are exempt from normal taxes on grounds that they are “special purpose vehicles”.
He claims a Revenue demand of €124,000, for VAT, vehicle registration tax and penalties, is wrongly imposed and in breach of his constitutional rights of the European Convention on Human Rights. He also claims the vehicles should be returned to him.
The four Mitsubishi Lancer Evolution cars were seized by a team of Revenue officers from Mr Cullen’s LC Autolink Ltd premises trading as Exclusive Cars, Heritage Village, Saggart, Dublin, on December 12th, 2007.
During the three-day hearing, the court was told the raid was one of a number carried out in a Cab operation on a number of premises, including Mr Cullen’s home at Starwood, Saggart.
The four cars are now in a State warehouse and Mr Cullen claims they were utilised for “corporate events including providing clients of the business with an opportunity to participate in racing days at Mondello Park racecourse”.
Mr Cullen, who sells high-end cars including Ferraris, Porsches and Bentleys, said alterations made to the four vehicles were of such a nature as to void the usual warranty for motor vehicles and therefore came within the “special purpose” definition.
The Revenue says Mr Cullen is mistaken in his view the cars were exempt. The vehicles were not only unregistered for VRT, but were not recorded on any stock register. When they were imported by Mr Cullen, he paid for two of them out of his personal funds, Revenue claims.
Experts for both sides gave evidence during the two-day hearing in which they disagreed whether the cars could be classified as off-road racing cars. Mr Justice John MacMenamin said he would give his decision as soon as possible.