UK vehicle tax changes from 1st October

From 1st October 2014, cars in the UK will no longer have to display a tax disc in the corner of the windscreen. The tax disc has been around for over 90 years and some are bemoaning its passing. Not me, though. I don’t like things stuck to car windows and, to my eye, tax discs are always messing things. No one’s come up with a really neat way of holding the disc in place and I’ll be delighted to no longer have one on the screen of my car.

To make this historic occasion, the DVLA has produced an incredibly crass video, which you can view here if you really want to. More importantly, what do the UK vehicle tax changes mean for you? Here, the DVLA is more useful, and has supplied the following information:

To drive or keep a vehicle on the road you will still need to get vehicle tax and DVLA will still send you a renewal reminder when your vehicle tax is due to expire. This applies to all types of vehicles including those that are exempt from payment of vehicle tax.

Buying a vehicle

From 1 October, when you buy a vehicle, the vehicle tax will no longer be transferred with the vehicle. You will need to get new vehicle tax before you can use the vehicle.

You can tax the vehicle using the New Keeper Supplement (V5C/2) part of the vehicle registration certificate (V5C) online or by using our automated phone service – 24 hours a day, 7 days a week.

Alternatively, you may wish to visit a Post Office branch.

Selling a vehicle

If you sell a vehicle after 1 October and you have notified DVLA, you will automatically get a refund for any full calendar months left on the vehicle tax.

Vehicle tax refunds

You will no longer need to make a separate application for a refund of vehicle tax. DVLA will automatically issue a refund when a notification is received from the person named on DVLA vehicle register that the:

• vehicle has been sold or transferred
• vehicle has been scrapped at an Authorised Treatment Facility
• vehicle has been exported
• vehicle has been removed from the road and the person on the vehicle register has made a Statutory Off Road Notification (SORN)
• person on the vehicle register has changed the tax class on the vehicle to an exempt duty tax class

Paying vehicle tax by Direct Debit

From 1 October 2014 (5 October if setting up at a Post Office®), Direct Debit will be offered as an additional way to pay for vehicle tax. This will be available for customers who need to tax their vehicle from 1 November 2014:

• annually
• 6 monthly
• monthly (12 months tax paid for on a monthly basis)

Provided an MOT remains valid, the payments will continue automatically until you tell DVLA to stop taking them or you cancel the Direct Debit with your bank. Valid insurance should also be in place for vehicles registered in Northern Ireland.

The Direct Debit will be cancelled and payments automatically stopped when you tell DVLA that you no longer have the vehicle, or the vehicle has been taken off the road and a Statutory Off Road Notification (SORN) has been made.

When the Direct Debit scheme can’t be used

Paying by Direct Debit will not be available to:

• first registration vehicles
• fleet schemes
• HGVs that pay the Road User Levy (all other HGVs can pay by Direct Debit)

Checking the tax status of a vehicle

You can check the tax status of any vehicle online. This can also be used for rental vehicles.