What taxation will apply to the purchase of a car under the 2026 UK/EU Treaty for Gibraltar?

Short answer

Under EU law, when purchasing a motor vehicle in one EU Member State and registering it in another, VAT is typically paid in the country of registration. In some cases, if VAT is paid at purchase, the buyer can obtain a refund when registering in their country and paying VAT there. That same regime will apply under the treaty for Gibraltar.