Road tax rant!

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Comments

  • Peter Everitt wrote (see)

    But my issue is not with the tax itself, it is the excessive surcharge for daring to not be able to afford it in one go. I just think a 10% charge is unfair. There must be thousands of families out there with people carriers for all their offspring that are also caught out - I thought the government was supposed to be out there helping low income families.

    Look at this from the revenue collection point of view - one collection per annum is cheaper than 2 due to admin costs, issuing notices, issuing tax discs, finance handling etc.   the 10% levy is to cover those secondary costs.   I have no idea whether 10% is too high/too low/about right to cover these additional costs but bearing in mind that they way that HMRC have been criticised recently for generating a few £million on 0845 calls for taxpayers calling them, I would suspect that the 10% is OTT and DVLA will be making some excess money from it.

    and they aren't penalising low income families - the DVLA have no idea what your income is - they are just applying the same terms to all vehicle owners.

  • fat buddha wrote (see

    and they aren't penalising low income families - the DVLA have no idea what your income is - they are just applying the same terms to all vehicle owners.

    I think they are indirectly - if you can't afford to pay in one go then you are being financially penalised regardless of the intentions of the extra charge. Income tax is collected monthly for those employed - self employed (do correct me if I'm wrong) submit an annual return and receive a tax bill. No surcharges in either case there?

  • DVLA and HMRC are different agencies so work in different ways

    and yes - HMRC do levy surcharges - for late submissions of income tax forms or late payments of outstanding tax

  • fat buddha wrote (see)

    and yes - HMRC do levy surcharges - for late submissions of income tax forms or late payments of outstanding tax

    Sorry fat buddha, you're not convincing me with your point - a charge for not paying on time is reasonable (the rate may or may not be). That's not the same as my gripe.

  • I've emailed DVLA to query this - may as well get the answer from the horse's mouth!

  • PE - I'm just giving some food for thought.  will be interested to see if DVLA respond and how they justify the 10% (which I also think is excessive btw)

  • I think the British public should have the choice to pay how they wish. I don't agree with people being penalised for not paying by direct debit. If I pay my gas bill on time then my money is as good as any direct debit. I'm not a fan of people having unlimited access to my bank so would rather pay by Bacs but they offer 80 pounds incentive for DD.

    I'm with Peter on this one. The less well off end up paying more because they have less choices. It's time we were given the right to choose how we pay and not be penalised for it.
  • Waste of an email, don't think for one minute there will be anyone answering it that gives a toss
  • Sussex Runner - don't get me started on the utilities!! I'm one who also refuses to pay by DD and is forced to pay extra. What for?? They send you a bill regardless of how you pay so no extra cost there and you save them the bother of collecting the money by going to the bank and paying directly into their accounts!

    EKGO wrote (see)
    Waste of an email, don't think for one minute there will be anyone answering it that gives a toss

    It would be unfair to keep moaning particularly if by some miracle they can justify the charge. Apparently it is three days for a response. No doubt they've been asked this many times so will have a stock answer...

  • It's not a surcharge for paying in two instalments.  It's a discount for paying in one.

  • I don't think so Intermanaut - but we'll see what DVLA has to say. I think they do need to look at the road/car tax (whatever) as it is very expensive now and it is not always possible to get a lower emmissions vehicle. I think it's time for them to consider a proper instalments scheme. I don't want to change my car and even if I did, it would cost thousands to save a relatively small amount so there really is no incentive.

  • Dude Abides, Internmanaut.

    As it so happens, I also have in my garage a 40 year old MG, which is currently tax exempt. Whether it is 998cc or 3900 supercharged is immaterial (it's somewhere between). I'm quite prepared to pay my fair share on the basis of my annual fuel use. Currently it's around 1500 miles per year. Perverse? I should say so. Am I pleased to be lucky enough to own a car that is tax exempt? Too right. It would have been sold long ago otherwise, and we would be mourning the loss of many more classics. This isn't a circular arguement, as the proposed tax cost would be drip fed. It would feel as though you weren't getting an annual bill.

  • Well credit where credit due - a pretty quick response:

    Motorists who choose to tax every six months are not being discriminated against. It is an option provided to those who prefer not to commit to the full annual rate and recognises that a twelve month disc may not always be appropriate.

    Vehicle Tax is set by law at an annual rate and there is provision for a tax disc obtained for six months, calculated at half the annual rate of vehicle tax plus 10% of the total sum. The extra 10% surcharge covers the cost of the extra tax disc, the reminders sent out to the customer, and the handling charges involved in the issue of two discs. To waive the premium would encourage a general switch from yearly to twice-yearly taxing. This would inevitably result in higher costs for a tax disc, which might have to be reflected in the overall cost of vehicle tax discs.

    I don't agree with this - indirect discrimination is occurring as those who prefer/need to pay bi-annually are being charged an excessive premium. As to the amount being to cover costs - nonsense! For some, vehicle tax is around £450 a year so how is £45 justified when for others it is £100 and therefore a £10 surcharge? I've also asked how much a tax disc and reminder costs so we'll see what comes next. Also why instalments aren't possible when many other taxes can be paid in instalments.

    Not quite sure where I'm going with this but I don't feel like letting go just yet - I really don't think it's right!

  • All those letters have to be answered. Thats what the extra cost is for !
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