does the 40 year VED exemption roll?|
our report on the Budget 2015 released within 30 minutes of the Chancellor
making his Budget 2015 Statement to the House of Commons on Wednesday 18th March
the Budget 2015, tucked away on page 87 of the support document released by HM
Treasury shortly after the Chancellor sat down after making his Statement in the
House of Commons on 18th March 2015, was the announcement:|
Vehicle Excise Duty classic vehicle exemption
As announced at Budget
2014, from 1st April 2016 a vehicle manufactured before 1st January 1976 will
be exempt from paying VED. (Finance Bill 2015)
2.165, page 87 of the Budget 2015 document.
This followed the welcome
but brief announcement on page 76 of the Budget 2014 support document:
The Government will introduce a rolling 40 year VED exemption for classic vehicles
from 1st April 2014. (Finance Bill 2014 and future Finance Bills).
page 76 of the Budget 2014 document.
That rolling 40 year VED exemption
followed the earlier announcement in the support document issued by HM Treasury
shortly after the Budget 2013 made in March 2013 that the Government
would extend the cut off date from which classic vehicles are exempt from VED
by one year.
2.148 VED: classic vehicle exemption
The Government will extend the cut off date from which classic vehicles are exempt
from VED by one year. From 1st April 2014 a vehicle
manufactured before 1st
January 1974 will be exempt from paying VED. (Finance Bill 2014)
page 84 of the Budget 2013 document.
So a rolling feature
was very good news. But Keith Belcher wondered whether anyone knew with any
certainty that this VED exemption will roll on as promised? His research is below
together with Chris Hunt Cooke's view.
clarified - 40 year exemption will have to be re-enacted every year in
order to move it forward by a year|
Chris Hunt Cooke says "I think
Keith Belchers research (see below) has clarified the situation, instead
of an automatic rolling exemption as we had previously with the 25 year VED exemption
(removed by Gordon Brown back in 1997), the 40 year exemption will have to be
re-enacted every year in order to move it forward by a year, if the Government
of the day continues to support the measure. This makes it very easy to stop the
rolling forward in any year if it is wished to do so, the Government simply has
to refrain from including the clause in the Finance Act rather than taking positive
action to amend the statute, as Gordon Brown had to in his first budget back in
1997. That is unfortunate but probably makes little practical difference, we shall
just have to hope for the continuing support for the rolling VED exemption of
See the Rolling 40 year VED Exemption research
by Keith Belcher. More
Register - MG Car Club - the
leading group for MG V8 enthusiasts at www.v8register.net|