Is car tax transferred when registered keeper changes hands?

Options
Ok so when OWNERSHIP of a car is transferred, tax is NOT. I know this.

But when the registered keeper changes, is the tax unaffected? My mum is the current keeper and I'm about to pay the tax renewal. In a month or so when I see her again I'm going to change the registered keeper details (she has the V5C document). :cool:
«13

Comments

  • BeenThroughItAll
    Options
    No, tax doesn't transfer when the Keeper is changed. End of discussion. Ownership has nothing to do with VED status.
  • unforeseen
    unforeseen Posts: 7,283 Forumite
    First Anniversary Name Dropper First Post
    Options
    DVLA don't care about ownership so that can change as much as you like.
    Every time the registered keeper changes (name changes on the V5) then tax gets cancelled and the previous keeper gets a refund if applicable
  • moneymiser113
    Options
    Ownership has nothing to do with VED status.

    If VED status means tax, then I think your statement is wrong here.
    GOV website: "The tax isn’t passed on when you sell a vehicle or transfer ownership to someone else." So yes, ownership does effect tax status.
  • moneymiser113
    Options
    unforeseen wrote: »
    DVLA don't care about ownership so that can change as much as you like.
    Every time the registered keeper changes (name changes on the V5) then tax gets cancelled and the previous keeper gets a refund if applicable
    thanks. good to know there is a refund.
  • TadleyBaggie
    TadleyBaggie Posts: 6,055 Forumite
    First Anniversary Name Dropper First Post
    Options
    If VED status means tax, then I think your statement is wrong here.
    GOV website: "The tax isn’t passed on when you sell a vehicle or transfer ownership to someone else." So yes, ownership does effect tax status.
    The the DVLA know nothing about the ownership of a vehicle, they only know of the Registered Keeper. And when the RK changes, the tax is refunded.

    I suspect that the DVLA term "transfer ownership" is just poorly worded.
  • rich13348
    rich13348 Posts: 840 Forumite
    First Post First Anniversary Combo Breaker
    Options
    If VED status means tax, then I think your statement is wrong here.
    GOV website: "The tax isn’t passed on when you sell a vehicle or transfer ownership to someone else." So yes, ownership does effect tax status.

    Technically you are correct. But when you sell a car you transfer ownership and registered keeper changes too.
    Technically speaking though you could transfer ownership of your car to your mother, by the way of a bill of sale, but you stay the registered keeper of the car so you tax it and are responsible for dealing with all violations regarding the car. In this scenario ownership changes but RK doesn't and tax is not cancelled.

    The opposite can also apply. You could retain ownership of your car but make your mother the registered keeper of the car so she is responsible for the tax and violations etc. In this case ownership has not changed but RK has changed and tax is cancelled for new RK the register.

    Basically, if you fill out the inside page of the V5C and tick the new owner box then tax is cancelled, if you don't tick the box tax is not cancelled.
  • BeenThroughItAll
    Options
    If VED status means tax, then I think your statement is wrong here.
    GOV website: "The tax isn’t passed on when you sell a vehicle or transfer ownership to someone else." So yes, ownership does effect tax status.



    Well, my statement is correct, in that only an RK change triggers a VED status change. The fact is that the DVLA website incorrectly confuses the words 'ownership' and 'keeper registration' interchangeably - surprising since it actually states on the front of the V5 document that it does not imply ownership of the registered vehicle.
  • Sicard
    Sicard Posts: 851 Forumite
    First Anniversary Name Dropper First Post Combo Breaker
    Options
    Well times must have changed, but I don't know when. I recall the days when sellers used to declare 'taxed and MOT'd for a year' as an incentive.
    You know what uranium is, right? It's this thing called nuclear weapons. And other things. Like lots of things are done with uranium. Including some bad things.
    Donald Trump, Press Conference, February 16, 2017

  • BeenThroughItAll
    Options
    Well times must have changed, but I don't know when. I recall the days when sellers used to declare 'taxed and MOT'd for a year' as an incentive.



    October 2014. This should not be news to you.
  • Rover_Driver
    Rover_Driver Posts: 1,508 Forumite
    First Anniversary First Post Combo Breaker
    edited 1 July 2016 at 11:26AM
    Options
    GOV website: "The tax isn’t passed on when you sell a vehicle or transfer ownership to someone else." So yes, ownership does effect tax status.

    That is the problem with the '.gov' website, it just gives general advice, often not that accurate (as in this thread), with no reference to the relevant legislation.
    Which can cause confusion when quoted as being correct (again, as in this thread).
    It should never be relied on without being verified.
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 343.2K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 247.9K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards