VED rates from 1/4/23

[Chippie]

Are people aware of the cost of taxing a new vehicle registered from the 1st April 2023.

https://assets.publishing.service.gov.u ... hicles.pdf

That means a M40i will be £1040 per year.
And that will be each year and no doubt will increase annually.

[TitanTim]

Is this another back door way of forcing you into an electric car?

Tim.

[Mr Tidy]

Ouch.

Suddenly my MC tax looks slightly less painful at just £695!

[Pondrew]

That means a M40i will be £1040 per year.
And that will be each year and no doubt will increase annually.

That's not how I read it.
First year @ £1,040, then 2nd onwards @ £180 plus £390 if over £40,000 new cost until year 7 which will be less the £390.

First year tax rates have been high for a while, but they are normally included in the on the road costs from the supplying dealer.

I can't see that anything has changed TBH (except the small increase each year).

[Chippie]

That's not how I read it.
First year @ £1,040, then 2nd onwards @ £180 plus £390 if over £40,000 new cost until year 7 which will be less the £390.

Having looked again I think you are correct, I’d had a conversation with an old friend earlier who had insisted that it was for every year and I’d presumed he was correct without fully reading up on it

[brillomaster]

i'm pretty sure my next car will be made in 2017... which means it can be as big, as polluting and as expensive as you like, and it'll still only be £180 a year to tax as it'll be on the flat rate, but older than 5 years old so the 'expensive car' additional rate will have expired.

[DevonPaul]

That's not how I read it.
First year @ £1,040, then 2nd onwards @ £180 plus £390 if over £40,000 new cost until year 7 which will be less the £390.

Correct - basically a 1 year "new car tax". Unlike the Z4M annual "Fun car tax"

Sadly the £500pa saving isn't enough to persuade the wife to chop it in for a 570GT.

[Nictrix]

Just got the tax renewal through for the Z4, holy s**t they have hiked it this year.
It has gone from 340 last year to 395 this year.
Thats the biggest increase I think I have ever seen for tax.

[pvr]

My first year tax was something like £3k for the M, but next year it will be a cheap £180

[Nictrix]

My first year tax was something like £3k for the M, but next year it will be a cheap £180

Im wondering if it will still be £180 by the time next year comes.
My X6 should be £180 next year but with everything else going up Im not so sure it will be.

[Pondrew]

My X6 should be £180 next year but with everything else going up Im not so sure it will be.

I will wager it will be £200. Increases seem to be on average about 10% pa, although your Z4 was much higher than that this year for some reason.

April is when they do the increases from (beginning of the tax year).

You could SORN a car for a week, middle of March. Get the refund then re-tax it in March so you get almost 12 months at 'last year's rates'
Martin Lewis has got nothing on me!

[Nictrix]

My X6 should be £180 next year but with everything else going up Im not so sure it will be.

I will wager it will be £200. Increases seem to be on average about 10% pa, although your Z4 was much higher than that this year for some reason.

April is when they do the increases from (beginning of the tax year).

You could SORN a car for a week, middle of March. Get the refund then re-tax it in March so you get almost 12 months at 'last year's rates'
Martin Lewis has got nothing on me!

16.17% for the Z
I dont think your idea would work. Is there not something in the system about not being able to sorn and retax in the same month?

[pvr]

You can tax it again but only at a post office, but I am sure that the loss of a full month of tax (is double pay in March) will offset the gains

[Pondrew]

I dont think your idea would work. Is there not something in the system about not being able to sorn and retax in the same month?

OK. I was just thinking out loud (I do that)!
In that case just don't bother taxing at all and IF you get caught pay the £100 fine and maybe 3 points. I've watched enough 'Police interceptors' to realise it's not exactly a biggie for them.

[pvr]

No points for no tax