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Car tax disc changes: Two days to go - and they affect you much more than just not displaying a piece of paper | |
(35 minutes later) | |
Changes to the car tax come into effect from Wednesday 1 October. How will they affect you? | Changes to the car tax come into effect from Wednesday 1 October. How will they affect you? |
The main change is the death of the tax disc after some 93 years adorning the windscreens of Britain's motorists. | The main change is the death of the tax disc after some 93 years adorning the windscreens of Britain's motorists. |
But drivers will still be charged car tax or, to give it the proper name, vehicle excise duty. | But drivers will still be charged car tax or, to give it the proper name, vehicle excise duty. |
Blame the change on improved technology. Tax discs are being ditched because the DVLA now has a digital record of payments and so a paper tax disc is no longer necessary as proof. | Blame the change on improved technology. Tax discs are being ditched because the DVLA now has a digital record of payments and so a paper tax disc is no longer necessary as proof. |
Tax dodgers won't have it easy though. There are number-plate recognition cameras which track each vehicle on the road and send an alert if they spot a motor with no record of having paid the duty. Also from Wednesday 1 October the transfer of the tax from buyer to seller when you sell a motor is being scrapped. Instead anyone selling their vehicle will get a refund of any tax they've paid in advance, although only for full calendar months left outstanding. | |
Even if you're not due a refund, you must tell the DVLA if you sell your car. Failure to do so means facing a fine of up to £1,000. You'll also remain responsible for taxing the vehicle you no longer own and you'll have to pay any fines the buyer may clock up. | Even if you're not due a refund, you must tell the DVLA if you sell your car. Failure to do so means facing a fine of up to £1,000. You'll also remain responsible for taxing the vehicle you no longer own and you'll have to pay any fines the buyer may clock up. |
On the other hand anyone buying a car will need to tax their new vehicle before driving it home after tomorrow. | On the other hand anyone buying a car will need to tax their new vehicle before driving it home after tomorrow. |
The other major change coming in is not happening until 1 November. Then the way you pay for vehicle tax will change. At present you need to buy either six months' or a year's tax up-front, but from 1 November you'll be able to pay by monthly direct debit over 12 months. | The other major change coming in is not happening until 1 November. Then the way you pay for vehicle tax will change. At present you need to buy either six months' or a year's tax up-front, but from 1 November you'll be able to pay by monthly direct debit over 12 months. |
Don't assume that's good news as you will pay heavily for the convenience of being able to spread the tax. Drivers buying vehicle tax bi-annually or monthly will incur a 5 per cent additional charge. However that is half the penalty of the 10 per cent surcharge currently applied to the six-month tax discs. | Don't assume that's good news as you will pay heavily for the convenience of being able to spread the tax. Drivers buying vehicle tax bi-annually or monthly will incur a 5 per cent additional charge. However that is half the penalty of the 10 per cent surcharge currently applied to the six-month tax discs. |
For more information, visit gov.uk/government/news/vehicle-tax-changes | For more information, visit gov.uk/government/news/vehicle-tax-changes |
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