DVLA to Scrap Tax Discs
It has been a subject of much debate for some time now and it is about to become a reality. It was announced by the Chancellor of the Exchequer in the Autumn Budget that the paper tax disc was to be scrapped and the DVLA have now confirmed that from 1 October 2014, the paper tax disc will no longer be issued and required to be displayed on a vehicle windscreen.
Birth to Death of the Tax Disc
Vehicle Excise Duty was first introduced in the UK in 1889 but it wasn’t until 1st January 1921 that it became compulsory to display a tax disc in the vehicle. In 1961 the tax disc had an overhaul, with a redesigned pattern for increased security, they also introduced a monthly issue system rather than the standard December expiry that had been in place since launch.
And now in October 2014 the tax disc is no longer.
Checking the tax status of a vehicle
If you have any remaining months left on your current paper tax disc from 1 October 2014, you can either remove the tax disc from your vehicle or display the disc until it expires.
You can check the tax status of any vehicle online.. DVLA will still notify you when your vehicle tax is due for renewal. You will still need to renew your vehicle tax if your vehicle is exempt e.g. historic tax class.
Buying or selling a vehicle
When buying a used vehicle you will be able to use the V5C/2 – new keeper supplement to pay vehicle tax at a Post Office branch, along with the MOT certificate (if applicable) and fee. From 1 October 2014 you will also be able to pay vehicle tax using the V5C/2 online or by phone.
When selling a vehicle to a new vehicle keeper, the vehicle tax will no longer be transferable. Vehicle tax will end when a vehicle is sold and the new keeper will need to get the vehicle taxed immediately before the vehicle can be used.
Paying vehicle tax by Direct Debit
From 1 November 2014 you can pay your vehicle tax online by Direct Debit either:
• 6 monthly
Whichever option you choose, the payments will continue automatically until you tell DVLA to stop taking them or you cancel the Direct Debit with your bank.
If your vehicle needs to be taxed from 1 November 2014, you can set up a Direct Debit when paying online for vehicle tax. DVLA will forward your instructions to your bank.
If you have been paying your tax annually or every 6 months, you will get a refund for any full calendar months left on the tax period when you tell DVLA you no longer require tax.
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