VED - Motorists fleeced yet again

Ebe_Scrooge

Under the new VED rules, it seems the government are winning all ways round. First off, every time a car changes hands, the tax for that month will be paid twice - once by the old owner, and again by the new owner.

And then there's a 5% surcharge if you want to pay monthly by Direct Debit. Admittedly that's a bit better than the 10% they used to charge for getting 6 months instead of 12. I can sort of see why there was a surcharge then, to cover the additional administration costs. But a Direct Debit saves them a lot of admin. Gas and electricity companies actually prefer you to pay by DD, and many give a discount for doing so, because it's easier and cheaper for them. But oh no, the government have us motorists over a barrel. Easy targets, as always. The trouble is, there's bu&&er all we can do about it.

GRRR :mad:

Rant over

sinizterguy

So overall, there has been an improvement in the offering and what you do is make it sound like they are fleecing you again over and above what was previously done ?

Very logical. I like it.

motorguy

Not again....

This has been covered off many times before on here and elsewhere and has been well published for at least a year.

Please keep up at the back!

But to reiterate again - on the previous disc system to "save" money on road tax when buying a car you were reliant on the goodwill of the previous seller selling you you tax disc to cover the month you would otherwise pay - ie, they would be able to get a refund up to the start of the current month, and you as the new buyer had to tax back to the start of the current month. Also, dealers couldnt claim back the tax so the previous owner usually / always did when trading in.

If you want to buy 6 months instead of 12 then its now CHEAPER to do so under the new system. (5% surcharge instead of 10%)

To pay it monthly you're paying as per the 6 monthly rate - something you've never been able to do before.

On average people pay approx £120 for road tax, and change their car every three years, so you're going to potentially be out a tenner every three years.

My road tax is £30 for the year so i'm going to be out a heady £3 extra every three or four years.

PLUS, whos to say they wouldnt otherwise have put road tax UP, so we've a better, more flexibile system, with no real additional charges.

pogofish

Nonsense - we have had ample value for money from all the bile-spitting threads on this over the last few months!

Ebe_Scrooge

sinizterguy wrote: »

So overall, there has been an improvement in the offering and what you do is make it sound like they are fleecing you again over and above what was previously done ?

Very logical. I like it.

Not really. Under the old system, when a car changed hands, the remaining tax for that month had already been paid - and would usually be transferred to the new owner. Under the new rules, that month's tax is paid twice. How many cars change hands every month ? Quite a few hundreds or thousands I would imagine. So that's a lot of "double tax" income they're getting.

harveybobbles

Ebe_Scrooge wrote: »

Not really. Under the old system, when a car changed hands, the remaining tax for that month had already been paid - and would usually be transferred to the new owner. Under the new rules, that month's tax is paid twice. How many cars change hands every month ? Quite a few hundreds or thousands I would imagine. So that's a lot of "double tax" income they're getting.

So buy a car on the last day of the month and tax it the following day.

sinizterguy

Ebe_Scrooge wrote: »

Not really. Under the old system, when a car changed hands, the remaining tax for that month had already been paid - and would usually be transferred to the new owner. Under the new rules, that month's tax is paid twice. How many cars change hands every month ? Quite a few hundreds or thousands I would imagine. So that's a lot of "double tax" income they're getting.

Not one of the cars that changed hands within my immediately family - 6 in the last 1.5 years - changed hands with the tax.

So not really what you're saying either.

phill99

And your point is.....?

Ebe_Scrooge

sinizterguy wrote: »

Not one of the cars that changed hands within my immediately family - 6 in the last 1.5 years - changed hands with the tax.

So not really what you're saying either.

So what happened to the partial month's tax that was left on it ? You can only reclaim a full month's tax, so if it's mid-month you may as well let the new owner have it ( or negotiate the value of it into the price ).

Sure, if you happen to change car on the last day of the month then it's not an issue, but most people buy and sell whenever it suits, not necessarily the last day of the month.

force_ten

as said above this has been covered quite a bit recently and it is the first time i have chipped in with my thoughts

the twelve months paid by direct debit for the 5% surcharge is the way i will tax my car from now on, at the moment i pay 12 months up front but i will live with the 5% or £6.50 a year for the convenience of pay monthly

as for the tax being paid twice in a month it will affect me once every three to five years which is when i usually change my car so £10.00 to £20.00 every three to five years wont worry me to much when you thing i will be spending around twenty grand on a new car

when you look at the vast numbers or cars that are sold every month it might be a nice little earner for the DVLA but if they dont take the money from this they will take it from somewhere else

I wouldn't get to stressed over this as there is nothing we can do about it

force_ten

Ebe_Scrooge wrote: »

Not really. Under the old system, when a car changed hands, the remaining tax for that month had already been paid - and would usually be transferred to the new owner. Under the new rules, that month's tax is paid twice. How many cars change hands every month ? Quite a few hundreds or thousands I would imagine. So that's a lot of "double tax" income they're getting.

this was only the case when a car was sold privately and the six months remaining tax was another selling point for your car

my cars always go into the trade and in the bad old days the tax would be cashed in by the dealers and the money put into there christmas bonus fund then the new buyer pays the tax

in the last couple of years my car goes into a dealer and they give you the tax disc back to cash in, in the old system every time a tax disc was cashed in then for that month the tax could potentially be paid twice

but often the car sits in trade for months so it is not taxed happened

if you bought a car towards the end of the month you lost a months tax and many never batted and eyelid but for some reason this new system seems to have got people all excited claiming we are being ripped off