Check the Current & Historical Tax & MOT status of any vehicle

Car Tax on Car

It’s not just the rapidly rising price of fuel which makes motoring an expensive business. There are lots of other expenses associated with owning and running a car too, such as servicing, insurance and the annual MOT test. Everyone’s feeling the pressure as prices start to rise and it’s natural to want to look for ways to cut motoring costs too. Although it’s always advisable to take steps such as shopping around for a new insurance policy rather than simply accepting the renewal price, one area in which you can’t really cut costs is with your car tax.

Which Cars Need Tax?

Unlike MOT checks which only apply to cars over 3 years old, car tax applies to every vehicle on the road. Well, almost. There are some key groups of cars which are exempt, but you’ll probably know if this applies to you already. Although there is some legal and technical difference between vehicles which are exempt from tax, and those which are in the system but pay at a zero rate the net effect is the same – you as a driver won’t be asked to pay anything. When you check the tax on your car online, the website will not say that the car is exempt from tax; the results page will just say that the car is taxed or not as with any other vehicle. This can understandably cause a bit of confusion. The three main groups of vehicles which are either exempt from paying road tax, or pay at a zero rate are:

• Electric vehicles – these are the least polluting cars on the road, and as such won’t pay any car tax. Hybrid cars, which run mostly on electricity but also with a back-up petrol engine, are less polluting than standard petrol or diesel cars so will pay road tax at a lower rate.
• Disabled Drivers – drivers who have a disability and who are in receipt of some benefits such as the higher rate of disability living allowance can apply for an exemption for their car tax. This exemption is based on the driver rather than on the vehicle. Drivers must have the car registered in their name, or nominate a driver.
• Historic vehicles – these are also known as classic cars and are defined by the DVLA as vehicles which were first registered more than 40 years ago.

There are further exemptions which apply to very niche categories of vehicle such as tractors and other farm vehicles. If you are the owner of a vehicle which is never used on the public road at all, then you don’t need to pay tax, insurance or MOT.

Paying Your Car Tax

After you check your car tax to see when the payment is due, you have a few options for making the payment. You can take the old school approach, and head off down to the post office with your tax reminder and pay the money over the counter with a cheque or cash. Most people however find that it is easier to pay online and the most obvious advantage is that this can be done at any time of the day. DVLA will send out a reminder to the registered keeper of the car four weeks before the tax is due, and you have up to the deadline to make the payment. You can make the payment in three ways:

• Annually – this is the most common option, and involves making the full payment for the year up front. If you’re sure that you will be keeping the car for the next year and can afford to pay all the money at once, this is probably the best option for you.
• Six-monthly – there is also the option to pay in two stages, six months apart which allows you to spread the cost. There is a 5% surcharge added to the tax price for doing this.
• Monthly – the last option is to set up a direct debit for your car tax which will leave your bank account every month. This also costs 5% more, but it might be an attractive option for people who are on a tight budget, or who think that they may be selling the car shortly and don’t want the hassle of reclaiming overpaid tax from the DVLA.

SORN and Car Tax

Many drivers have cars which they have bought as a “project” to do up over many months or years, or cars which are only used in the summer months. Even if these cars don’t fall into the historic exemption category, there is still a way of pausing the tax while the car is off the road. This is what is known as SORN, or a statutory off-road notification. Cars which are SORN are not allowed to be used on the road at all, so must be stored somewhere like a garage, or a piece of private land like a driveway. Cars which are SORN do not require a MOT test either, or insurance, although some drivers prefer to continue the insurance to protect against risks such as theft or fire.

SORN continues indefinitely, so is the perfect solution for situations where your car refurbishment project lasts a bit longer than you had originally intended. When you are ready to get the car back onto the road, simply go online and tax it again. If the car requires a MOT, then it is legal to drive to the garage to have the inspection done, as long as you have taxed it first.

Penalties for Not Having Car Tax

The penalties for not having car tax on your vehicle can be quite severe. Number plate recognition technology means you are more likely to be caught than under the previous system, and you can expect a fixed penalty notice in the post and points on your licence. Drivers who ignore fixed penalties can expect much higher penalties, with fines of up to £1000. Keep on top of your admin and don’t risk ending up with a fine because of an oversight.