Some useful clarifications of the changes to road tax/VED
We have seen two major changes to vehicle excise duty (VED) over the last few years: first the welcome reintroduction of the road tax exemption for classic cars with the Budget in 2013 which then became a rolling 40 year exemption with the Budget in March 2015 and second the ending of paper tax discs in October 2014. We have three useful articles: the first clarifying what has happened since the ending of the paper discs whereby a VED ends when a vehicle is sold and the buyer has to retax the car, second a case study of what might happen if your were stopped by the police driving home with an existing VED on a car you had just bought and third a clarification of how the 40 year roll-on feature works.
More VED information
Posted: 151202
Unintended consequences of ending the paper tax disc - see our clarifications
The aims behind the series of changes to vehicle excise duty (VED) over the last few years have been a combination of enforcing compliance and seeking administrative cost savings. But what have we seen? Sadly some uncertainties and some unintended consequences. Vehicle clampings have soared, motorists have incurred increased costs and we have seen misleading statements on the GOV.UK website. Here we clarify what has happened. More
What might happen if you are stopped by the police when driving home with an existing VED on a car you have just bought?
The DVLA website says when you buy a vehicle, the tax or SORN doesn't come with it and is cancelled so you need to re-tax a vehicle before driving it home from a dealer's forecourt or a private seller's home. We do not consider that is correct because our review of the legislation shows the existing VED is not cancelled until the DVLA receives notification of the change of registered keeper from a sale or transfer of the vehicle. More
How does the roll on feature of the rolling 40 year VED exemption work?
When the good news of the reintroduction of a rolling VED exemption was announced in the March Budget 2014, Chris Hunt Cooke mentioned an important detail - the Rolling 40 year VED exemption requires the annual roll-on to be included in each Finance Act which goes through Parliament following each Budget. Here Chris provides a detailed explanation. More