New car tax laws

[Stellartois]

I've had a quick look through old posts and couldn't find the answer to my question so apologies if it has been asked before but with the changes in car tax recently, is it possible to tax a car for a month at a time or is it the same as last time ie six or twelve months? I only ask as I had heard it could be paid by direct debit, is this true ?
Thanks

[Neith]

I've just taxed mine and I could pay monthly by Direct Debit. I don't think there's a way to just pay a month at a time without starting a Direct Debit though.

[ging84]

from what i have been told montly tax wasn't actually due to come in till next month
sounds like you can already pay by direct debit, not sure if that is just for 6 months or yearly this month, but by next month you'll be able to pay monthly, not sure how much of a faff it will be to cancel and start, but if you cancel mid month you'll get no part month refund, and if you start mid month, you'll pay for the whole of it

[TooMany2cvs]

By paying by DD you're not buying a month-at-a-time, you're buying 12mo or 6mo, but paying for it in chunks.

[ianwayne]

It's available from 1st Nov. There's a 5% loading too for monthly d/d but it'll help some with £500 to pay. This is less than the 10% extra that was charged if you bought 6 months instead of 12.

If you declare a car SORN or sell it, the d/d should be frozen and no more payments taken but keep your eye on it!

http://www.pistonheads.com/gassing/topic.asp?t=144...

Edited by ianwayne on Monday 13th October 23:27

[ging84]

TooMany2cvs said:

By paying by DD you're not buying a month-at-a-time, you're buying 12mo or 6mo, but paying for it in chunks.

I don't think that is how it will work at all
for one thing, the monthly and 6 monthly direct debit prices are currently showing is being slightly cheaper than standard 6 month rates
i would expect anyone paying by monthly direct debit can expect their monthly payments to go up each April not at an annual or 6 month renewal point

[ging84]

i'm wrong apparently you will have an annual renewal date, so you tax won't automatically stop if your mot runs out, and your payments shouldn't go up in april
they really have missed a trick there

[ianwayne]

Why would that happen? When you renew VED for either 6 or 12 months, it's at the renewal cost. If it goes up in the budget, you're not affected until renewal. If you opt for d/d you'll be paying the renewal cost in monthly chunks.