Road tax. Weird thing.

[shambolic]

Just found the reminder for wife’s road tax. It ran out on 30th September.
But on my car check which I used to see if she had paid it or not the tax is £165 for 12 months and £90.75 for 6months.
On the actual reminder it’s £313.40 for 6 and £570 for 12 months.
I take it the app is wrong?

[andygo]

I'm afraid its a fact of life that more expensive price is always the correct one. Bet you already know that. But you have to ask though, just in case you can beat the rule.

[robdcfc]

Over 40k original purchase price has a £390 surcharge for the first 5 years

[Tommo87]

https://www.gov.uk/vehicle-tax-rate-tables

If the car was over £40k new: you have to pay extra for the first 5 years.

[MDMA .]

You will have the additional car tax of £390 per year for it being over £40k new?

Edited by MDMA . on Wednesday 11th October 18:21

[The Rotrex Kid]

As above, you’ve got a few more years of the higher rate yet OP.

[Muddle238]

I was confused initially as a 13 plate won't be affected by the £40k luxury bracket bks. However a bit of Googling revealed it's a private plate on a 2020 Mercedes, so that explains it.

As others have said, extra tax due due to being over £40k list when new. Eventually after a few more years of the higher rate, it'll revert to £180, unless the government move the goalposts again between then and now.

[MBVitoria]

Commenting just to be that irritating tt who always pops up to point out that [adenoidal voice on] road tax was actually abolished in 1937 and replaced by Vehicle Excise Duty...

EVEN THOUGH WE ALL STILL CALL IT ROAD TAX!!

[NRG1976]

The official documentation you have received asking for payment is most likely the correct one on the balance of probabilities vs. 3rd party app. At a guess that is..

[Llanddewi Brefi 944]

Tommo87 said:

If the car was over £40k new: you have to pay extra for the first 5 years.

When did this become a thing?

[shambolic]

Cheers I did think that. Bloody thing hardly moves as well. 16k miles in last nearly 4 years.
She likes it though.

[shambolic]

MBVitoria]Commenting just to be that irritating tt who always pops up to point out that [adenoidal voice on said:

road tax was actually abolished in 1937 and replaced by Vehicle Excise Duty...

EVEN THOUGH WE ALL STILL CALL IT ROAD TAX!!

It’s called vehicle tax on the form though not vehicle excise duty

[sixor8]

Llanddewi Brefi 944 said:

Tommo87 said:

If the car was over £40k new: you have to pay extra for the first 5 years.

When did this become a thing?

Since April 2017 when VED became a flat rate again.

[Llanddewi Brefi 944]

sixor8 said:

Llanddewi Brefi 944 said:

Tommo87 said:

If the car was over £40k new: you have to pay extra for the first 5 years.

When did this become a thing?

Since April 2017 when VED became a flat rate again.

Does it drop to the standard rate then after 5 years?

[sixor8]

From DVLA:

Cars registered on or after 01/04/17 – Standard rate (£) Note: Cars with a list price of over £40,000 at first registration will pay the additional rate for 5 years from the start of the second licence.

So, if the car changes owner within the first year, it may be 5 years plus how many months it was first valid for. But usually, a total of 6 yrs.

Standard rate only afterwards, yes.

[Mr Tidy]

Roll on 2024 so I can start looking at cars that had a List Price over £40K!

[youngsyr]

Wow, and they haven't increased the threshold in 6 years?

That's some stealth tax increase there.

[Mammasaid]

youngsyr said:

Wow, and they haven't increased the threshold in 6 years?

That's some stealth tax increase there.

It's not really a stealth tax, it's more fiscal drag.

[brillomaster]

Mr Tidy said:

Roll on 2024 so I can start looking at cars that had a List Price over £40K!

why wait? there are already 2017 registered cars that are under the new flat tax band, and now outside of the 5 year 'over £40k' additional tax.

so you can tax a full fat, £120,000 range rover sport for the low low price of just £180 a year, the same price as a 2020 VW Up!.

[mcflurry]

brillomaster said:

Mr Tidy said:

Roll on 2024 so I can start looking at cars that had a List Price over £40K!

why wait? there are already 2017 registered cars that are under the new flat tax band, and now outside of the 5 year 'over £40k' additional tax.

so you can tax a full fat, £120,000 range rover sport for the low low price of just £180 a year, the same price as a 2020 VW Up!.

Yep - otherwise you could end up with cars that no one will buy down the line, similar to the situation with 2001-2006 cars with 226 carbons or greater.
(£675/695 a year to tax - band L and M)