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Car Tax Banding Problem

I ordered a new car in June 17 and was happy with the price etc but couldn’t get any extras as it would have put it into the next VED bracket.

When I received my V5 from the DVLA I was shocked to see that I was in the VED bracket above what I though meaning an extra 1650 pounds in VED over 5 Years.

Having talked to the dealer it turns out that the DVLA takes the price of the car from the day it was registered and Lol and behold the price had gone up in price between my ordering and collection.

Given that I never paid the higher price I find it incomprehensible that I should have to pay circa 1650 pounds extra.

Anyone know what my rights are?
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Comments

  • Pretty sure the legislation will state the VED is calculated based on the list price of the car at the date of registration that is used. Unlucky for you but I suspect you have no rights to challenge it.
  • arcon5
    arcon5 Posts: 14,099 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    The car dealer don't make up or have any control over ved rules. Your probably still saving if the extras still potentially take into the next bracket
  • facade
    facade Posts: 7,298 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Pretty sure the legislation will state the VED is calculated based on the list price of the car at the date of registration that is used. Unlucky for you but I suspect you have no rights to challenge it.


    Correct, the VED is calculated on the manufacturers list price when registered.

    If it were on the actual price paid there would be no end of fiddles with "discounts" and "free extras" swindling our masters out of their well deserved cash. ;)
    I want to go back to The Olden Days, when every single thing that I can think of was better.....

    (except air quality and Medical Science ;))
  • Marvel1
    Marvel1 Posts: 7,322 Forumite
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    Its based on the manufacturers list price, a dealer can offer a lower price for sales but this will not matter on the VED.
  • Car_54
    Car_54 Posts: 8,573 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    I ordered a new car in June 17 and was happy with the price etc but couldn’t get any extras as it would have put it into the next VED bracket.

    When I received my V5 from the DVLA I was shocked to see that I was in the VED bracket above what I though meaning an extra 1650 pounds in VED over 5 Years.

    AFAIK it's "only" £1,550 (£310 x 5).
  • tonyh66
    tonyh66 Posts: 1,736 Forumite
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    you have just bought a car for over £40K, £310 per year should be pocket money.
  • facade wrote: »
    Correct, the VED is calculated on the manufacturers list price when registered.

    If it were on the actual price paid there would be no end of fiddles with "discounts" and "free extras" swindling our masters out of their well deserved cash. ;)

    It wasnt based on the actual price paid, the car list price was under 40k when I purchased it
  • tonyh66 wrote: »
    you have just bought a car for over £40K, £310 per year should be pocket money.

    Not really the point is it
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    Having talked to the dealer it turns out that the DVLA takes the price of the car from the day it was registered

    This seems an eminently reasonable way of dealing with it.
    Anyone know what my rights are?

    In what way?

    DVLA base the VED on the list price on the date of registration. Your car's list price on the date of registration was over £40k, so the VED hike applies.

    You can ask the importer/manufacturer (who set the list price) to make a contribution. They may, of course, refuse. There's no more to it than that.
  • Iceweasel
    Iceweasel Posts: 4,769 Forumite
    Part of the Furniture 1,000 Posts Photogenic Combo Breaker
    The sad thing is that the OP now has a car without the options/extras/features he/she wanted but is paying the same VED as if he had ordered them.

    Personally I'd have specced the car the way I wanted it and to hell with gov.uk ;)
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