WARNING: VED (Road Tax in layman terms) will not transfer to new owner, more expense in Tory/Lib Dem Britain Options

[Andy Capp]

It would seem while not having to display a tax disk might be handy, the government are salivating at a prospect of an estimated £58,000,000.00 windfall tax next year, as your tax will not carry to the new owner!

http://www.adventurebikerider.com/news/100...een-owners.html

[Strafin]

How would that generate so much extra tax? Is that an estimate just based on overlapping costs? Seems a lot, but I agree it's a pain. VED should be abolished anyway.

[Andy Capp]

How would that generate so much extra tax? Is that an estimate just based on overlapping costs? Seems a lot, but I agree it's a pain. VED should be abolished anyway.

Just a rough cut guess.

About 7 million used vehicles get sold every year. If the average vehicle has half a month’s VED remaining, that equates to 3.5 million extra months of VED per year (291,666 years’ worth) down the drain (you can only claim back full months). If the average annual VED cost per vehicle is £200, that works out to about £58,333,200 every year, assuming the car is re-taxed and the original owner buys an taxes another car in the same month, so it's rather tenuous really.

[Biker1]

Currently, if you sell a vehicle, you can take off the tax disc and send it back to DVLA for refund (on the remaining complete months).
The new owner can then re-tax.
Can this principle not be used with the new system?

[MontyPython]

Currently, if you sell a vehicle, you can take off the tax disc and send it back to DVLA for refund (on the remaining complete months).
The new owner can then re-tax.
Can this principle not be used with the new system?

That is what will happen.

What Andy was highlighting is that you can not leave the tax disc with the vehicle. As there is no refund for part months you will then have the situation that the sale of a car from me to you today, will require us both to have paid VED for the month of January.

[Exhausted]

What Andy was highlighting is that you can not leave the tax disc with the vehicle. As there is no refund for part months you will then have the situation that the sale of a car from me to you today, will require us both to have paid VED for the month of January.

I'm not sure that there is much difference with the current system other than perhaps you could sell the remaining tax to the new owner but if I returned the disc for a refund on 3rd January, I would get a refund for Feb, Mar and so on and the new owner would have to purchase tax for January which I have already paid and is forfeit.

[user23]

Seems like quite an over estimation.

[Andy Capp]

I'm not sure that there is much difference with the current system other than perhaps you could sell the remaining tax to the new owner but if I returned the disc for a refund on 3rd January, I would get a refund for Feb, Mar and so on and the new owner would have to purchase tax for January which I have already paid and is forfeit.

Have you read and understood the OP?

Seems like quite an over estimation.

Perhaps you could articulate why?

[NWNREADER]

The Government is being quite slick, as they should increase income as well as save on expenditure. No cost of paper, printing, posting etc, and all those cars that still have tax on the car when they sell it - especially privately - will be void. Up until now the VED has applied to the car, now it will apply to the car and keeper. Will catch out many, especially when Dad gifts his car to son/daughter......

[motormad]

Problem is, who buys a car without tax these days... I certainly won't, if someone is cheap enough to claim back £50 then I think about how they have skimped elsewhere.

Stupid government idea... yet again...

[Biker1]

Problem is, who buys a car without tax these days...

Well, possibly you will.
As the OP says "your tax will not carry to the new owner"!

[Claude]

How to transport a used car having just bought it is what concerns me most. I'm intrigued to see how the scheme addresses this issue.

[JeffG]

How to transport a used car having just bought it is what concerns me most. I'm intrigued to see how the scheme addresses this issue.

More importantly, you'd have to have arranged insurance beforehand, unless you have existing insurance and it covers driving any vehicle.

[MontyPython]

More importantly, you'd have to have arranged insurance beforehand, unless you have existing insurance and it covers driving any vehicle.

You have to do that currently - so that won't be affected by this change!

[Claude]

More importantly, you'd have to have arranged insurance beforehand, unless you have existing insurance and it covers driving any vehicle.

As said, this scheme has absolutely no impact on being insured when you buy a used car, it's not changing anything which does or doesn't happen today from that perspective.

For info you can get short-term car insurance, which I've used in the past for test-driving vehicles I have and haven't ended up purchasing.

Anyway, most 'standard' comprehensive policies allow you to drive other vehicles (providing you have the owner's permission) but you're only covered on a third party basis, I think. For me that rules out driving any car worth over £500.

[Strafin]

How to transport a used car having just bought it is what concerns me most. I'm intrigued to see how the scheme addresses this issue.

Presumably some sort of online instant cover, but to be honest in the unlikely event of you getting pulled, the database would still show the car as being taxed, because the paperwork wouldn't have been completed at the DVLA that quickly.

[Claude]

Presumably some sort of online instant cover, but to be honest in the unlikely event of you getting pulled, the database would still show the car as being taxed, because the paperwork wouldn't have been completed at the DVLA that quickly.

In the unlikely event that you get pulled you won't have a tax disc displayed because the previous owner will have been obliged to keep it.

If I buy a car in deepest, darkest Cornwall there is little phone signal let alone enough to allow me to get internet connection on my phone, so I still await how one gets around the 'getting it home' issue. My guess is there'll be a grace period of 7 days to get it sorted... Time will tell.

[Biker1]

It is currently possible for any individual to report what they think may be an untaxed vehicle to DVLA.
With this new system this will not be possible as there is no identifying mark.
Is this desirable?
(Probably, to those who choose not to pay it! )
Maybe it is time to be even more radical and scrap VED altogether?

[dannyboy]

It is currently possible for any individual to report what they think may be an untaxed vehicle to DVLA.
With this new system this will not be possible as there is no identifying mark.
Is this desirable?
(Probably, to those who choose not to pay it! )
Maybe it is time to be even more radical and scrap VED altogether?

ANPR will be everywhere......

[Biker1]

ANPR will be everywhere......

Will it?
Are you sure?
What, more than it is now?