View Full Version : Car tax and the budget
I've been hearing a bit on the news about the proposed increase in car tax for the bigger "gas guzzling" vehicles in the budget this week.
I own, what is probably considered to be low to medium emission car - a 1.4 peugeot 206. Car tax last year was £100.
Seeing as I have to renew my car tax before the end of the month, I'm wondering if I should get the car taxed before the budget in case it goes up.
What are the chances of the rate decreasing for my a car with my engine size? :rolleyes:
I think the rate for my car is likely to stay the same. What do you think is going to happen?
Hintza
20-03-2007, 1:08 PM
I've been hearing a bit on the news about the proposed increase in car tax for the bigger "gas guzzling" vehicles in the budget this week.
I own, what is probably considered to be low to medium emission car - a 1.4 peugeot 206. Car tax last year was £100.
Seeing as I have to renew my car tax before the end of the month, I'm wondering if I should get the car taxed before the budget in case it goes up.
What are the chances of the rate decreasing for my a car with my engine size? :rolleyes:
I think the rate for my car is likely to stay the same. What do you think is going to happen?
It waill have nothing to do with engine size directly but by emissions.
I doubt it will go down...when do they ever go down!!
But yours is probably marginal..it will be a case of you pays your money and takes a chance I would have thought.
Mine went down last year - renewal notice before budget was £105 but budget reduced it to £100 before the expiry date at the end of march :)
I've already renewed this years via the DVLA website and wonder what'd happen if it went up (would they debit my card with the extra?). On the other hand if it went down I suppose they would credit my card with the difference.
Mine went down last year - renewal notice before budget was £105 but budget reduced it to £100 before the expiry date at the end of march :)
I've already renewed this years via the DVLA website and wonder what'd happen if it went up (would they debit my card with the extra?). On the other hand if it went down I suppose they would credit my card with the difference.
I used to work in a post office and if the tax goes up in the budget, we used to have to charge customers the new rate even if their renewal notice showed the old rate. ;)
If it was the retail industry, they would have to "sell" the car tax at the advertised rate wouldn't they?
The amount you have to pay is the rate in force at the time of payment. So if you pay today - and probably up to 12.30pm tomorrow, you'll know exactly how much it is. After that, it may be higher or lower depending what car you've got.
As a guess, if you are paying between £190 and £215 at the moment, get it taxed today. If you are paying just £30 to £40, wait until after tomorrow.
Careful_ly
20-03-2007, 1:41 PM
Its a gamble. Mine is £110 and I renewed it online yesterday, after my car had passed the MOT, I thought it more likely to go up than down, but who knows.
gazhawkins
20-03-2007, 4:12 PM
Chances are the extra tax will go on Chelsea tractors and the like.
What worries me is that the tax could be doubled on older vehicles (before the emissions regs came in). Mine is a 99 vehicle - so tax is 170 quid whether it's a full sized range rover or a 1.6 ford focus.
Nobody ever mentions that the amount of energy (and CO2 emissions) required to manufacture a new car is absolutely staggering. Think about it - mining the ore, making the steel, transporting it, making the parts, transporting the parts, assembling the vehicle and transporting the vehicles.
So taxing older vehicles does not reduce CO2 emissions necessarily.
livinginhope
20-03-2007, 4:18 PM
This has been on my mind all day,I have a 10 year old car,2.2 engine,at present the tax is £175,on the news they said the tax was going to double,would this be on the emissions system,or on the engine size?
gazhawkins
20-03-2007, 4:39 PM
For cars built AFTER the car emissions taxation system came in: it will be based on emissions.
For cars built BEFORE, it's a separate taxation class and will be dealt with separately.
Who is to say whether the motorist's friend Gordon will double the car tax on old cars - to remove 'old polluting vehicles' off the road, reduce CO2 emissions, blah-blah-blah?
If car tax and fuel tax were combined in the price of fuel, you wouldn't need all this complex, costly tax administration. The French have been doing this for years. Folks who drive fuel inefficient cars are charged accordingly - and everyone pays the fuel duty and VAT on fuel. How many drivers avoid car tax and insurance?
Well, I took the plunge and taxed my car today.
I'll be on here tomorrow:cry: if the tax for my car goes down and :j if it goes up.
scheming_gypsy
20-03-2007, 9:07 PM
if they double my insurance i'll run the b*stard over. I'm not dropping down to a 1litre granny mobile
rdwarr
20-03-2007, 9:57 PM
Shame for us "Classic" fans. I have a 5.3-litre Jag XJS that does around 1000 miles per year. It's nice to keep these alive.
debsy42
20-03-2007, 10:02 PM
I decided not to chance it and taxed mine before the budget as well :)
gazhawkins
21-03-2007, 12:28 AM
rdwarr: Mad Maverick Money Saving Maniac - Jaguar XJS 5.3 l ???
Please give generously: BP, Exxon & Shell thank you!
:EasterBun
go_braves
21-03-2007, 7:38 AM
To poster 1882, no the DVLA will not credit your card with the difference. As sevaral people have said, you pay the price in force at the time. However, one of my colleagues who had paid early, refunded their full 12 month unexpired disc via DVLA Swansea, and bought a new one late March at the lower price. There is a time lag though, between paying out a second time, and getting the refund back on the first disc,
if they double my insurance i'll run the b*stard over. I'm not dropping down to a 1litre granny mobile
Why would they double your insurance? Do you mean road tax?
Well, I took the plunge and taxed my car today.
I'll be on here tomorrow:cry: if the tax for my car goes down and :j if it goes up.
You did the right thing. Your car tax has gone up from £100 to £115 (from tomorrow)!
See table at the foot of page 228 of http://news.bbc.co.uk/1/shared/bsp/hi/pdfs/21_03_07_budget_report.pdf
bionic banjo
21-03-2007, 3:44 PM
I am desperately trying to get this straight in my head.
I have 1999 4x4 for my farm. It is 2.9l Diesel
If it was a 2001 model this new tax would apply, but because it is older the £175 tax remains the same??????
I am desperately trying to get this straight in my head.
I have 1999 4x4 for my farm. It is 2.9l Diesel
If it was a 2001 model this new tax would apply, but because it is older the £175 tax remains the same??????
Yes I think you have summed it up correctly. I am in exact same position as you with a 1999 disco.
Malcmandy
21-03-2007, 4:06 PM
We have a R reg.Landrover Discovery which is essential if you live in the middle of Bodmin Moor on a farm ! Which small car is going to pull our livestock trailers through the lanes ??????? Please advise ?
By the way, we also have a view, I fully expect my council tax to go up as well !
gazhawkins
21-03-2007, 5:14 PM
Haven't managed to locate any detail, re: older vehicles.
Band G VED is definitely going up to 300 quid this year and 400 quid in 2008. As far as I know, this is the Chelsea Tractor - people carrier - luxo executive barge class.
Malcmandy: I suppose you could always try using a Fiat Panda 4x4 to drag your livestock trailors around the farm, but I think you'll get nowhere fast.
:rotfl:
funky-footprints
21-03-2007, 5:42 PM
what people carriers would be in band G ? I have a chrysler voyager and am in band f.
thanks.
gazhawkins
21-03-2007, 5:58 PM
Example people carrier in band G:-
Renault Espace 2 litre petrol (229 g/km)
Source = BBC website.
Older vehicles over 1549 cc will incur VED of 180 quid per year, according to HM Govt. website.
scheming_gypsy
21-03-2007, 6:07 PM
Why would they double your insurance? Do you mean road tax?
you've not been a member long enough to realised i'm a bit dumb at times :D
You did the right thing. Your car tax has gone up from £100 to £115 (from tomorrow)!
See table at the foot of page 228 of http://news.bbc.co.uk/1/shared/bsp/hi/pdfs/21_03_07_budget_report.pdf
I beat Mr Brown, I beat Mr Brown! :j :j :j
mortgage-confused
21-03-2007, 8:39 PM
Just trying to tax my car online before the price rises tomorrow. Bit of a coincidence that the DVLA's website to tax online is unavailable due to "essential maintenance". :mad:
I am desperately trying to get this straight in my head.
I have 1999 4x4 for my farm. It is 2.9l Diesel
If it was a 2001 model this new tax would apply, but because it is older the £175 tax remains the same??????
The £175 tax under the old system is going up to £180.
See Table A8b at the foot of page 228 of:
http://news.bbc.co.uk/1/shared/bsp/hi/pdfs/21_03_07_budget_report.pdf
alm721
23-03-2007, 12:09 AM
If you go to this site http://www.vehiclelicence.gov.uk/EvlPortalApp/ and go on vehicle enquiry you can enter your registration number and make of car and it will tell you how much tax you will now pay. If you them look at this link http://www.direct.gov.uk/en/Motoring...le/DG_10012524 you can see what band your car is if. It seems that band G was only introduced for cars registered from March06 so if you have a large 4 x 4/ people carrier but its older than March 06 you will be in band F not G.
gazhawkins
24-03-2007, 10:03 PM
Seems simple enough, eh?
Now you know why tax lawyers earn so much dough!
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