Car tax, confusing

[sxturbo]

Hi looking at getting a new car, the car in question is a 2018,

The car will cost £155 per year to tax,

But

I'm unsure of the wording on the government website.

The car when new has a list price of 46k,

The confusion comes from I'm buying the car used for around half the original in list price, am I right in saying that according to the new rules, I have to pay the £155 per year tax, plus £355 even though i didn't buy it new?

According to the government:

Vehicles with a list price of more than £40,000
You have to pay an extra £335 a year if you have a car or motorhome with a ‘list price’ (the published price before any discounts) of more than £40,000. You do not have to pay this if you have a zero emission vehicle.

You only have to pay this rate for 5 years (from the second time the vehicle is taxed).

 

[motorbiking]

Your understanding is correct. Unless it’s electric. Have you considered a slightly older car?

It’s a bit of a scam as £40k new, is hardly Lamborghini money.

 

[sxturbo]

Your understanding is correct. Unless it’s electric. Have you considered a slightly older car?

It’s a bit of a scam as £40k new, is hardly Lamborghini money.

Who determines the original list price?

I know what the list price is at the moment, from what I can find it was £38k 3 years ago, but the list price of the same car today is £46k

If optional extras were purchased does this push the list price up?

It's a bit of a crap idea tbh, that imo is a bit wishy washy

 

[Mottie]

If optional extras were purchased does this push the list price up?

Yes, it does. It’s not the list price of the base model, it is the list price of the model you buy including any factory fitted optional extras. Even if you were to negotiate the price of a £45k car down to £39,999 you still won’t avoid the extra tax.

Can you locate the supplying dealer through a window sticker or name on a number plate and check with them?

 

[Munroast]

Who determines the original list price?

I know what the list price is at the moment, from what I can find it was £38k 3 years ago, but the list price of the same car today is £46k

If optional extras were purchased does this push the list price up?

It's a bit of a crap idea tbh, that imo is a bit wishy washy

It started off as a very good idea where the eye watering tax was aimed at the cars that created the most pollution, and then for some idiotic reason (2016ish) they just changed that to list price. Plenty relatively economical cars are above 40k, and some horrible gas gusslers under 40k,. the country is run by idiots.

 

[Mottie]

Our A3 was registered in Feb 2017. 66 plate. It’s £30 a year to tax. The same car registered after March 2017 on a 17 plate is £175.

 

[sxturbo]

What a palaver this is.

I'm yet to view the car over the weekend see what it's like, can check out more details then.

It seems to have not been thought about too well, and it doesn't make it particularly clear when buying used cars exactly what the costs are.

Bloody governments

 

[motorbiking]

scrap it and put the tax on the fuel. Then we pay as we go.

Vehicles with a list price of more than £40,000
You have to pay an extra £335 a year if you have a car or motorhome with a ‘list price’ (the published price before any discounts) of more than £40,000. You do not have to pay this if you have a zero emission vehicle.

You only have to pay this rate for 5 years (from the second time the vehicle is taxed).

Be aware that this is years 2 - 6 as written. Not years 2-5.
2019-2020 Y1
2020-2021 Y2
2021-2022 Y3
2023-2024 Y4
2024-2025 Y5

So you are looking for a grand off to cover it.

 

[Old Salt]

Taxes are worked out by civil servants who probably only travel by train on their commute to London so they don't care about gas guzzlers under 40K or any other car. They probably cant even drive so their not bothered how much we pay for the privilege.

 

[JohnD]

Taxes are worked out by civil servants

Taxes are laid down by the government that some of us elected.

 

[motorbiking]

There is an expectation of a certain amount of revenue. Increasingly cars are hitting the efficiencies and emissions targets, so the money comes another way.

 

[Old Salt]

Taxes are laid down by the government that some of us elected.

Laid down by government but thought up by civil servants

 

[JohnD]

Laid down by government but thought up by civil servants

Laid down by government and performed by government's employees in accordance with the rules established by government.

 

[Old Salt]

Laid down by government and performed by government's employees in accordance with the rules established by government.

Okay, I give up you win, but as far as I know civil servants are government employees. As regards the rules established by government I am sure the chancellor does not come up with all the ideas for tax changes, new taxes or dropping taxes on his own. I think, just maybe, there is some input from civil servants or as you would have it government employees.

 

[JohnD]

Chancellor "I want to increase the take from vehicle tax, especially from people who can afford expensive cars, but give an easy ride to people with pink cars or electric cars"

Permanent Secretary "well, Chancellor, we've studied the options, and different results, and you could do it like this, or like this, or like this, or like this"

Special Adviser "I've got a pink car, and so has Carrie, so it won't go down well with the press"

Chancellor "The fourth one, but take out the bit about the pink cars, and put a £50 surcharge on plumbers"

Permanent Secretary "I fear the plumbers surcharge could be challenged in the courts"

Chancellor "All right then, drop that. I'll get the Chief Whip to run it past the backwoodsmen"

Other civil servants "It's rather complicated and confusing"

Head of Civil Service (appointed by Prime Minister) "shut up and do what you're told"