Vehicle Tax Changes Means Drivers Risk Vehicle Towing

Vehicle Tax Changes 

Now motorists do not have a physical reminder, there have been fears that drivers are more likely to have their vehicles towed and fines imposed.

Motoring bodies have asserted that whilst most drivers are now aware that they are not required to display a tax disc in the car windscreen, they are unaware that if the car is sold, the new owner will have to tax the car regardless of whether the car is still taxed for the remainder of the month. The previous owner cannot use the remaining months’ tax as a bargaining chip to encourage buyers, and the previous owner cannot seek reimbursement for the period of time the car was taxed but not in their possession.  Sellers are expected to inform the DVLA immediately following the sale of a car or they can otherwise face a fine of up to £1000.

Are You At Risk of Towing?

Since the car tax disc was abolished on the 5th October 2014, the number of vehicles that have been clamped has risen 60% from 5,000 to 8,000. Previously motorists had to pay for car tax yearly, or every six months for an extra 10%. Now it will only cost an additional 5% if motorists wish to tax their vehicle every six months. For an extra 5% you also now have the option to pay monthly through Direct Debit.

A DVLA spokesperson has said of the issue: "The changes have been widely publicised and we write to every vehicle keeper to remind them of the new rules before the vehicle tax expires.

"We also write to every new vehicle keeper when they buy a used vehicle to inform them that they must tax the vehicle before they use it.

"In addition, if a driver does not tax their car we will send a warning letter to remind them to tax as they are at risk of enforcement action."

Get a quote on your insurance today.

 

Other news

While Fleet insurance is ideal for businesses managing diverse vehicle fleets, motor trade insurance is best suited for those in the motor trade industry, covering activities like vehicle sales, repairs, and servicing. Read our latest guide to discover which policy is right for you.

Explore our essential guide to attaining business insurance for your electric vehicle, including benefits, how to choose and what happens if someone trips over your charging cable.