Goodbye Tax Discs

Road Tax Discs

What will change for motor traders after the tax disc is abolished?

Motor traders will no longer be able to purchase vehicles with a tax disc in force. From 1st October 2014, a tax disc is no longer transferable when a vehicle is sold. Motor traders may wish to use trade plates, provided that the vehicle is used within the conditions for use of trade plates. Alternatively, if the vehicle is to be registered in the name of the motor trade, then new vehicle tax will need to be obtained.

Will the use of trade plates change for motor traders and vehicle testers?

From 1st October 2014, it will no longer be a requirement for a trade licence holder to display a trade licence. Motor traders and vehicle testers will still need to apply and pay for a new trade licence at the time of renewal, but there will no longer be a paper trade licence for display within a trade plate. The display and conditions of use of trade plates for motor traders and vehicle testers will not change in October 2014.

Will there be any change for motor traders to notify sale and transfer of vehicles to DVLA?

There will be no change. The person or business registered as the keeper must notify DVLA when they sell or transfer a vehicle.

How will refunds be issued to the keepers who transfer vehicles to the motor trade?

Refunds will continue to be made to registered keepers, when DVLA receives notification of a change on the Vehicle Registration Certificate (V5C). Refunds will also continue to be made when a keeper makes a Statutory Off Road Notification (SORN).

How will refunds be issued to the motor traders whose vehicles are registered to the motor business?

Refunds will continue to be made to the motor trade business registered with DVLA, when a notification of change is received on the Vehicle Registration Certificate (V5C). Refunds will also continue to be made when a motor business that is registered as a keeper makes a Statutory Off Road Notification (SORN).

What if a tax disc is lost before October? Will a duplicate disc still be required to be displayed?

A duplicate tax disc will need to be obtained and displayed up until 30 September 2014.

Are Renewal Reminders to Tax (V11s and V85/1s) still being sent by DVLA?

DVLA will continue to issue Tax Reminders. Customers still need to apply for vehicle tax at the appropriate time.

Is there a period of grace to tax a vehicle that has just been purchased?

DVLA always advise that vehicles are not purchased without customers sighting the Vehicle Registration Certificate (V5C). Any person buying a vehicle should insist on the New Keeper Supplement (V5C/2) which allows the buyer to obtain a new tax disc immediately. This has always been the case and will continue after October 2014.

There is no period of grace. The buyer will always need to obtain new vehicle tax immediately upon point of sale of a vehicle, using the V5C/2. DVLA will develop the online and phone channel to allow the buyer to obtain vehicle tax 24hours a day. Alternatively, the buyer can visit a Post Office to get vehicle tax.

What must the seller do?

The seller must notify DVLA that the sale/transfer of the vehicle has taken place.  A refund payment for any full months of vehicle tax outstanding will be sent to the seller upon notification of the sale from the seller.

Is it possible that the refund is sent to the wrong person?

The refund will always be paid to the person on the DVLA vehicle register. In the case where a vehicle is sold, the refund will be paid to the seller once DVLA receives notification that a vehicle has been sold.

I currently get a disabled tax disc, how will the changes affect me?

The changes will not affect the way in which you get your vehicle tax. You will still receive a V11 Tax reminder and will still be required to use this online or at a Post Office to declare that you are eligible for exemption from paying vehicle tax in the disabled tax class. A check still needs to be carried out on your eligibility for disabled tax even though no tax disc will be issued.

How can  I check if a vehicle is taxed as disabled as customers who are eligible for disabled tax receive concessions with parking, toll bridges and for other fees?

From 01st October 2014, You will be able to check the vehicle tax class and status of any vehicle online at www.vehicleenquiry.service.gov.uk. You just need to provide the vehicle numberplate and the make of the vehicle. Another way to check if the customer has taxed their vehicle as disabled would be to ask if the confirmation of eligibility by DWP is available to view.