# A Plan to Benefit Expats Avoid Matriculation!



## Rarrainbow (Mar 22, 2012)

Hello All!

We are currently in the UK, moving to the South Algarve in the next month (May 2012). We have decided to buy a car in the UK and drive it over as:

a) we have heard cars are 2.5x more expensive to buy in Portugal
b) we will know nobody upon arrival and will therefore have no trustworthy people to help us when buying a car (we are getting cheap banger and are not mechanics ourselves!!)
c) we have lots of stuff to bring over (surf boards, dive equipment etc) so even though flights are cheap, once extra baggage has been added, plus taxis etc when we get there, figured a car would be much easier and much more fun too!
d) being involved in the tourist industry my BF needs to be ready to go as soon as we get there, therefore not inclined to buy Portuguese car upon arrival as this will take time to sort out insurance, breakdown, even just finding the car....

We know that:

a) as long as the UK car is UK taxed and MOT'd, we can keep it legally for the first 183 days of entering Portugal
b) after then we need to matriculate
c) there are loads of posts on all forums about this and clearly it is a pain in the posterior and also pretty costly :-( (also I believe you have to have owned the car for 12 months prior to attempting matriculation... well we haven't even bought our car yet..... so can't matriculate anyway!)

However:

a) we need a car as BF is freelance photographer across the whole of the South
b) we are limited on funds!
c) we have found really good insurers to cover UK, Spain and Portugal

Surely:
- with the number of expats moving between the UK and Portugal, something can be set up between us to benefit all. I'm thinking drive a UK registered car over, have it legally no hassle for 6 months, then sell it to somebody who is going to the UK. Maybe part ex for their LHD car?

Pitfalls:
- not sure how many people leave Portugal to move back to the UK?

Overcome by:
- people will be visiting the UK and maybe the idea of a road trip would appeal... see some of Spain and France and even the UK along the way! Use the car to transport more than is allowable on cheapdotcom flights. Use it whilst in the UK. Then if coming back, sell it onto the next person who needs it!

Surely:
-there must be people needing RHD leaving Portugal who have a LHD car to get rid of??????

-doing part ex or a plain swap to avoid all the absolute red tape of getting the cars re-registered and all the costly checks involved

What do you all think please? As I said, as yet, we have no car but definitely need one... which is the best way to do this based on only wanting a cheap banger and having lots of stuff to bring over...

Any ideas or inspiration to address this situation that clearly a lot of people are suffering with would be great!

Thanks


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## silvers (Sep 22, 2008)

I wouldn't bother. Just buy a car here, go to Anúncios grátis, classificados grátis: carros usados, motas usadas, casas, apartamentos e produtos usados de ocasião - Custo Justo and look at veiculos, you can buy a cheapo on there. Insurance can be done online, I use these Simulação Seguro Automóvel - Seguro Directo
Breakdown cover is included in your insurance.
Plus the police in the Algarve have been known to take a particular interest in stopping and fining foreign cars.


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## robc (Jul 17, 2008)

+ 1 to Silvers.

Matriculation really seems to make sense when dealing with cars that are not in the "banger" category.

Having said that your plan does give an excellent opportunity to "offload" one's UK duffmobile. Hmmmmm 

Rob


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## siobhanwf (Mar 20, 2009)

Totally agree with Silvers.
In addition to a fine you can also leave yourself open to your can being confiscated and crushed plus the fine.
Being told you have 48 hours to take to car out of the country plus a considerable fine.
Being told you may pay the import duty plus a possible fine.
NONE OF IT IS WORTH THE HASSLE 

RHD cars can take an age to resell.


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## canoeman (Mar 3, 2011)

Your big problem is a very unrealistic hope that you can sell or swop your car here, yes there are always people leaving but would they want to buy an old banger or swop?

If you can buy one cheap enough to drive down with all your stuff and it's cheaper than airfare + luggage, then you've 6 months, well *not really* as you've 3 months+30 days which is the time within you must register your Residence (and a resident cannot drive a UK plated car without permission from Customs) and the *other condition* is that Vehicles brought into Portugal temporarily may only be driven by their owners, their owner’s spouse or common-law spouse, their owner’s parents or children or their registered keeper, provided none of these individuals* are resident, employed or carrying out paid activity* in Portugal.

I'd resign yourselves to buying a car here, insurance is a 5 min thing (bring proof of any UK no claim bonus some companies will accept) breakdown cover is generally part & parcel of cover as is EU wide insurance.
Places to look various Expat forums, Portugal News, Algarve Daily, Standvirtual - O Nº1 em Carros Usados

Oh and make certain you re-new your UK Licences for max possible time before leaving UK, when you Register your Residence you must also register your UK Licence with IMTT or exchange it. 
Registering is the easiest and cheapest option (0€) as you retain your UK driving classes and the licence is legal but must be exchanged before it expires.


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## Rarrainbow (Mar 22, 2012)

canoeman said:


> Your big problem is a very unrealistic hope that you can sell or swop your car here, yes there are always people leaving but would they want to buy an old banger or swop?
> 
> If you can buy one cheap enough to drive down with all your stuff and it's cheaper than airfare + luggage, then you've 6 months, well *not really* as you've 3 months+30 days which is the time within you must register your Residence (and a resident cannot drive a UK plated car without permission from Customs) and the *other condition* is that Vehicles brought into Portugal temporarily may only be driven by their owners, their owner’s spouse or common-law spouse, their owner’s parents or children or their registered keeper, provided none of these individuals* are resident, employed or carrying out paid activity* in Portugal.
> 
> ...



Thank you for your advise! What is IMTT? How long do we have to be there to register our residence? We are not sure if we will do that yet as it's an organic process... maybe we will stay, maybe we wont type of situation - we are not contracted to our positions, on that front we are free to come and go as we please.

We have several siblings and friends who have said they are happy to fly over and have a road trip back in our car so getting it back to the UK to re-sell is no longer a problem as long as we make sure there is enough tax and MOT to take it back. 

We will be based in the South Algarve, are there any expat mechanics out there who may be able to help us find a new second hand Portuguese banger as a run around only?


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## canoeman (Mar 3, 2011)

IMTT = UK DVLA
You can holiday in Portugal for 6 months (that might have now changed to the Registering after 3 months)
but
If you intend to stay or *work* then you must Register your Residence within 30 days of 3 months or any time in between.
Work also reguires you to pay N.I and tax, presuming you are officially employed or billing for work with "Green Receipts"


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## Rarrainbow (Mar 22, 2012)

canoeman said:


> IMTT = UK DVLA
> You can holiday in Portugal for 6 months (that might have now changed to the Registering after 3 months)
> but
> If you intend to stay or *work* then you must Register your Residence within 30 days of 3 months or any time in between.
> Work also reguires you to pay N.I and tax, presuming you are officially employed or billing for work with "Green Receipts"




Thank you. My boyfriend is setting up his own business and registering it as Portuguese business (if anybody has top tips regarding this that would also be fab! It's 100% mobile as in if it doesn't work out in Portugal, we can move anywhere... we are registering it so we can pay N.I and tax.... therefore we also need an accountant... any recommendations?!!). I am volunteering. So we need to get rid before 3 months and 30 days then?


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## canoeman (Mar 3, 2011)

Car yes, as your registering Residence, setting up a business here is not for the faint hearted, it is far more complicated and expensive than UK, not the actual company which is relatively easy, but the permissions, insurance, licences that he will no doubt need to operate what seems to be tourist related water sports?? 

N.I especially is very expensive (although you do get a 12mth holiday to assess future rates) compared to UK self employed rates. Tax well depends what you earn.

As it seems you are working for other people, the easiest and simplest way is to be self employed and you bill them for your services under a scheme refereed to as "Green receipts" 

I think you really need to do a considerable amount of research.


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## Rarrainbow (Mar 22, 2012)

canoeman said:


> Car yes, as your registering Residence, setting up a business here is not for the faint hearted, it is far more complicated and expensive than UK, not the actual company which is relatively easy, but the permissions, insurance, licences that he will no doubt need to operate what seems to be tourist related water sports??
> 
> N.I especially is very expensive (although you do get a 12mth holiday to assess future rates) compared to UK self employed rates. Tax well depends what you earn.
> 
> ...


Thank you.

We are researching and yes there is a lot of new info out there. 

What is expensive and what is hard? 

He will be freelance underwater photographer. SO only has small amount of equipment, 1 employee i.e. himself, no premises... what permissions does he need? 

So no need to pay NI for the first year?

Can you recommend an accountant to assist please?

I don't need anything as volunteering, not earning.


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## canoeman (Mar 3, 2011)

Sorry Algarve not my area so no recommendations for an accountant.

You might not be earning, but you do come up against this grey area of Social Security contributions as your not of retirement age.

When you described the things you wanted to bring it seemed that you might be teaching, surfing, diving etc, as you say he's a freelance photographer then he probably won't need any licences?? equally you really need to speak to an accountant and find out the best way that he "employs" himself or bills for work/commissions/sales in Portugal or elsewhere, just because you have a S/S holiday it's only to establish a future figure, which unless your on a low income is normally around 26% for self employed.

What's expensive, well the Algarve for a start, because as a holiday centre, it also has a knock on effect on prices for "locals", what's hard is learning the ropes and adapting to a different and sometimes very frustrating attitude from officials and the official organizations you need to deal with.
But worth it in the long run


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