What is car tax?
Car tax, also known as vehicle excise duty (VED) or road tax, is an annual tax that you need to pay to legally use your vehicle on public roads in the United Kingdom. The tax amount you pay depends on factors like the type of vehicle you own, its CO2 emissions, fuel type, and the date it was first registered.
How do I know when my car tax is due?
You can easily find out when your car tax is due by checking your vehicle’s V5C logbook (also known as a vehicle registration certificate). The V5C document contains crucial information about your vehicle, including the tax due date. Additionally, the Driver and Vehicle Licensing Agency (DVLA) will send you a reminder letter or email a few weeks before your tax expires. It’s important to keep your contact details up to date with the DVLA to ensure you receive these reminders.
What if I buy a used car?
If you buy a used car, you are responsible for taxing it before you can legally drive it. The previous owner’s tax does not automatically transfer to you. When purchasing a used car, you should ask the seller to provide you with a new V5C document, which will have your name and address on it. Once you have the new logbook, you can tax the vehicle online, by phone, or at a post office.
How can I pay my car tax?
There are several convenient methods to pay your car tax. The most common and recommended option is to pay online using the official government website or by phone. You can also visit a post office that deals with vehicle tax and pay over the counter. When paying, you will need the V5C document or the 16-digit reference number mentioned in your reminder letter or email.
What happens if I miss the deadline?
If you fail to pay your car tax by the due date, you will be driving without a valid tax disc, which is considered an offense. The DVLA has strict enforcement measures in place, including issuing penalty charges, fines, and wheel-clamping or impounding your vehicle. Moreover, you may be required to pay backdated taxes along with the penalty to get your vehicle back on the road.
Can I claim a refund if I sell my vehicle?
If you sell your vehicle or declare it off the road (SORN) before the tax expiry date, you can claim a refund for the remaining full months of tax. The refund will be automatically processed once you inform the DVLA about the sale or SORN declaration. Make sure to include details of the new owner when informing the DVLA about a vehicle sale.
Knowing when to pay your car tax is essential for every vehicle owner. By regularly checking your V5C logbook, staying updated with notifications from the DVLA, and paying on time, you can avoid unnecessary fines and keep your vehicle legally on the road. Remember, it’s better to be proactive and pay your car tax promptly than face the consequences of non-compliance.