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Road Tax (VED) Explained - Vanarama
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Car tax bands explained
Commercial Equipment. Personal Loans. Tax discs were later introduced in This new tax was initially used for building and maintaining roads. In , road works were being paid for by government grants.
Recently Asked Questions
One of the biggest changes in DVLA history was the abolition of the year-old tax disc, on 1 October In the past, when you bought a used vehicle, the tax disc and any unexpired tax remained valid. Car tax for new cars first registered since April depends on list price and CO2 emissions.
What decides how much car tax I pay? It depends when the car was first registered: Cars more than 40 years old are exempt Cars first registered before 1 March are taxed on engine size If your car was first registered between 1 March and 1 April , how much car tax VED you pay depends on the car's official CO2 emissions.
If the car's newer first registered on or after 1 April then it's only the first year rate that's based on CO2. What are the current car tax VED rules? The first year rate is based on official CO2 figures For new diesel cars that don't meet the latest RDE2 emissions standards the first year rate assumes that the CO2 emissions are one band higher than indicated by official figures.
Cars that meet RDE2 aren't expected to be available until at the earliest. The latest VED rules in detail Why are new diesel cars taxed differently?
The cost of car tax Vehicle Excise Duty depends on how old your vehicle is and its engine size or official CO2 emissions. The official CO2 figure for your car is on the V5c registration document.