Car tax additional rate

[Takemeaway]

I’m considering buying a two year old used car which had a list price of over £40k

Will I have to pay the additional tax rate each year until it’s 5 years old?

From googling, seemingly yes!?

[Oil Trash]

Yes!

[jjr1]

No, you pay until it is 6 years old.

[Oil Trash]

My bad ~ you are of course correct

[paradigital]

Unfortunately so, seemingly daft especially given the depreciation rate of some eligible vehicles.

Bought the wife a Passat GTE Advance last month, 3 years old and 45% of its list value, but seemingly being able to afford a £20,000 3 year old car qualifies you as being suitable to pay an extortionate tax rate.

[ahenners]

Yep completely daft and I always wondered if it would dent sales of used stuff at this sort of age when it's neither close to £40k still, nor is it's hefty tax period nearly ended. Demand seemingly not dented in this current crazy market.

[Jiebo]

This tax gives you a good insight into just how incompetent those in charge of senior government departments are.

[jjr1]

ahenners said:

Yep completely daft and I always wondered if it would dent sales of used stuff at this sort of age when it's neither close to £40k still, nor is it's hefty tax period nearly ended. Demand seemingly not dented in this current crazy market.

I think it would make a difference if buyers are aware. Anecdotally on forums you see loads of comments about people buying cars and then wondering where the extra £350 comes from when trying to tax it?

[drgoatboy]

This actually caught me out recently buying an E300, all the websites say it's £150!tax and fault to mention the additional rate. My bad for not realising but it was a bit of a shock when I taxed it and it cost £400+

[Takemeaway]

drgoatboy said:

This actually caught me out recently buying an E300, all the websites say it's £150!tax and fault to mention the additional rate. My bad for not realising but it was a bit of a shock when I taxed it and it cost £400+

I'm surprised at how little thought there is around this extra cost and how it doesn't even make the small print when buying a used car... anywhere!

Not exactly a scam, or mis-selling, but there should be some sort of warning system to highlight this to second hand customers

It's certainly making me re-think my next car

[Pistonheader101]

Just buy the best 66 plate you can find

[Dave Hedgehog]

Jiebo said:

This tax gives you a good insight into just how incompetent those in charge of senior government departments are.

i think they are all fantastic, cancelling the tax on my car after i had bought it

[Takemeaway]

Just following up on this - how would you find out the original list price of a car for a prospective purchase of a car?