Bit confused about new UK road tax laws??
Discussion
The Moose said:
davidsc said:
The Moose said:
The new monthly payment is, I believe, going to be cheaper than the current 6 monthly payment (it's currently 10% surcharge and will become 5% IIRC).
If you don't have internet access at the time of purchase, then just use a telephone. 24 hour call line.
It'll help with selling as it removes a bargaining chip - knock £100 off mate as I need to tax it in 2 weeks time.
The general public by and large won't have an issue. The people who will lose out are motor dealers.
Now you'll get "knock £150 off mate as I need to tax it straight away"If you don't have internet access at the time of purchase, then just use a telephone. 24 hour call line.
It'll help with selling as it removes a bargaining chip - knock £100 off mate as I need to tax it in 2 weeks time.
The general public by and large won't have an issue. The people who will lose out are motor dealers.
t400ble said:
Yeap, over 12 months will be great
I'm not that fussed about the 'i'll lose 15 days or so tax' if I come to sell the car
So what you're saying is, you like giving money to benefit scroungers? (other charitable government funded recipients are available).I'm not that fussed about the 'i'll lose 15 days or so tax' if I come to sell the car
Example:
If your car is pre 2001 and over 1549cc, then you've just given £9.45 to the government.
The new owner will have to tax the car for the full month - that's another £9.45
Total: £18.90
Either way, the Government are laughing. Every time a car is sold, they get a full months tax revenue (£19 using my pre-2001 example car) from either the seller, or the new buyer, or a percentage from both.
Of course, if you drive a low tax girly car then it's not so bad. But if you're in the real Man's £500 bracket, then they get £41 each time the car is sold.
f
king Ker'ching [insert rolling in free money smiley]. 
I suppose to avoid all this we just sell cars at the beginning/end of each month...but it's a bit of a PITA.
Edited by DrDoofenshmirtz on Wednesday 27th August 10:55
DonkeyApple said:
J4CKO said:
I quite like the bit where you can pay it monthly, ok, its a little bit more but it does mean I don't have to find £500 and give it them in one go.
We don't have to have a three inch diameter disk in the window.
Set up a separate bank account. Set up a DD for the monthly amount in your main account. We don't have to have a three inch diameter disk in the window.
Hey presto, the joy of 12 smaller monthly installments but without paying the premium.
I may still do that, would save £25 which is not much but when you add it to all the other stuff that adds a bit on for monthly, it can add up, car tax as discussed, any kind of insurance, if I budget for things like that I reckon I can save £200 a year, still not a huge amount but if you do that across all your spending it can make a decent difference.
Speed Badger said:
So what would happen, for example, if I wanted to give my other half my car as a present? Would I have to wait until the end of the month, transfer it over then sod about obtaining a refund, get refunded, then promptly buy some more tax for it again?
It depends if you are making her the Registered Keeper or not. If you are going to fill out the change of keeper section of the V5 and get it all put into her name, then it would appear that part of that process now includes the tax as well. It does seem a pretty ludicrous situation though - just like motor insurance is; in the sense that it seems it is neither just the car or just the owner that it pertains to, but a weird combination of both (and neither).
JonRB said:
Speed Badger said:
So what would happen, for example, if I wanted to give my other half my car as a present? Would I have to wait until the end of the month, transfer it over then sod about obtaining a refund, get refunded, then promptly buy some more tax for it again?
It depends if you are making her the Registered Keeper or not. If you are going to fill out the change of keeper section of the V5 and get it all put into her name, then it would appear that part of that process now includes the tax as well. It does seem a pretty ludicrous situation though - just like motor insurance is; in the sense that it seems it is neither just the car or just the owner that it pertains to, but a weird combination of both (and neither).
What's to stop you using that when moving it into your misses' name?
The Telegraph have an interesting article here:
http://www.telegraph.co.uk/finance/personalfinance...
One thing they point out, which I hadn't thought of, is what happens if you borrow / hire / rent a vehicle? The onus is now on you to check online if it is taxed or face a £50 fine, whereas before you could simply look at the tax disc.
Only a few months ago I had a Courtesy Car from a garage and noticed that the tax disc had expired, and immediately alerted them. I was told it was a leased vehicle and the tax had automatically been renewed but the new disc hadn't been placed on there. But without the tax disc I probably wouldn't even have thought to check.
http://www.telegraph.co.uk/finance/personalfinance...
One thing they point out, which I hadn't thought of, is what happens if you borrow / hire / rent a vehicle? The onus is now on you to check online if it is taxed or face a £50 fine, whereas before you could simply look at the tax disc.
Only a few months ago I had a Courtesy Car from a garage and noticed that the tax disc had expired, and immediately alerted them. I was told it was a leased vehicle and the tax had automatically been renewed but the new disc hadn't been placed on there. But without the tax disc I probably wouldn't even have thought to check.
Speed Badger said:
So what would happen, for example, if I wanted to give my other half my car as a present? Would I have to wait until the end of the month, transfer it over then sod about obtaining a refund, get refunded, then promptly buy some more tax for it again?
Depends how difficult they make getting your refunded amount back.If it's a case of the DVLA get your V5 then automatically post out a cheque or debit your account then it's not too big a deal.
If you have to fill out a form and stand in a post Office queue for 30mins in your lunch surrounded by piss soaked OAPs then that could be rubbish.
I don't think it'll be too bad. I especially like that it removes the haggling point when you come to sell your car. The price is the price mate, the tax is for you to negotiate with the DVLA!
DKS said:
McSam said:
Because the system is online and nearly instant, there is absolutely no reason whatsoever that tax could not be handled to the nearest day to avoid such an issue - except, of course, that it would reduce the cost and ballache to the motorist and therefore the profit to the system.
Yes. If I could wake up one morning, see some lovely weather and then and there tax my 'summer' car for the day/ weekend/ week I might well do, instead of leaving it SORNed all winter. The Govt could scrounge a few more quid off me, but in a way in which is almost justified. But no.I would be thrilled if I could tax a spare car for a week to use it for an event, I can do this with my insurance..
JonRB said:
RichB said:
Exactly - plus it would mean overseas tourists would contribute when buying petrol in the UK
But not overseas Hauliers who can manage to come over here, make their delivery, and get back onto the Continent all on the same tank thus contributing nothing. JonRB said:
RichB said:
Exactly - plus it would mean overseas tourists would contribute when buying petrol in the UK
But not overseas Hauliers who can manage to come over here, make their delivery, and get back onto the Continent all on the same tank thus contributing nothing. The theory of putting it all on fuel duty is a good one and it would be practical.
I did the maths a little while back and I think it worked out at circa 14p per litre to enable the government to collect the same amount of cash as the RFL provides.
Where it would be a great saver is the cost of collection would be put onto the merchant (as VAT is currently). This would massively reduce the cost of administration - I don't know what RFL currently costs to collect, but I'd be surprised if it wasn't a reasonable %age of the bill.
You'd still have the issue of agricultural/marine/heating fuel usage but it wouldn't take much imagination to come up with a system to get around this. For example, put the onus on the merchant (as they do with serving alcohol to minors) and jail them if they don't comply.
McSam said:
Surprised we've got this far without anyone pointing out the problem with making it impossible to transfer tax when selling a vehicle:
If I'm selling a car which I'm using daily, and a chap comes to get it on the 15th of September, I do not get a refund for any of September's tax, only any remaining full months. So I lose two weeks' tax.
As the tax cannot be transferred, the new owner must re-tax the car immediately. Apart from being bloody inconvenient, especially if the sale is not taking place at someone's house, it can still only be done in whole months so he must pay for all of September, again paying for two weeks' extra tax.
Tadaa.. The government gains a month's extra tax. Because the system is online and nearly instant, there is absolutely no reason whatsoever that tax could not be handled to the nearest day to avoid such an issue - except, of course, that it would reduce the cost and ballache to the motorist and therefore the profit to the system.
Also:If I'm selling a car which I'm using daily, and a chap comes to get it on the 15th of September, I do not get a refund for any of September's tax, only any remaining full months. So I lose two weeks' tax.
As the tax cannot be transferred, the new owner must re-tax the car immediately. Apart from being bloody inconvenient, especially if the sale is not taking place at someone's house, it can still only be done in whole months so he must pay for all of September, again paying for two weeks' extra tax.
Tadaa.. The government gains a month's extra tax. Because the system is online and nearly instant, there is absolutely no reason whatsoever that tax could not be handled to the nearest day to avoid such an issue - except, of course, that it would reduce the cost and ballache to the motorist and therefore the profit to the system.
Taxing a car you've owned for more than a few months is totally simple.
Taxing a car you've recently purchased is a nightmare.
DONT PUT RFL on FUEL!!!!
£120 a year for my Jag, Put £7,000 a year of fuel in it
The level will be set to catch the money on the school run cars so they would increase fuel by 10%,
Local mum drives 3 miles to school 2 miles to shop and back say 5 miles probably only fills up once a month, these probably equate to over 30% of the cars on Britain's roads.
So if we say local mum fills up once a month £60x12 + £720, means they would only pay £65.46 a year in RFL! So you would really be looking at 20% on fuel so look at £1.62 a litre for fuel!
£120 a year for my Jag, Put £7,000 a year of fuel in it
The level will be set to catch the money on the school run cars so they would increase fuel by 10%,
Local mum drives 3 miles to school 2 miles to shop and back say 5 miles probably only fills up once a month, these probably equate to over 30% of the cars on Britain's roads.
So if we say local mum fills up once a month £60x12 + £720, means they would only pay £65.46 a year in RFL! So you would really be looking at 20% on fuel so look at £1.62 a litre for fuel!
The Moose said:
As far as I'm aware, they don't contribute anyway.
You're correct; they don't. Although there is talk of requiring foreign hauliers to purchase some kind of permit akin to VED to over the immense wear they cause to our roads. However, it's probably all swings & roundabouts as undoubtedly the costs would be passed on the consumer. It might level the playing field a little though as British Hauliers pay rather a lot of money in VED. Gassing Station | General Gassing | Top of Page | What's New | My Stuff