Car owners can choose to pay their car tax on a monthly, six-monthly or annual basis. This blog post aims to answer the question of whether car owners will end up losing a month’s car tax if they pay at the end of the month. Additionally, we will explore other key areas of interest for readers such as how soon a car owner can tax their vehicles before the end of the month or how many days it takes for paid car tax to show on the DVLA system; as well as discuss some car tax basics regarding its calculation and payment.
If I Tax My Car On The Last Day Of The Month Will I Lose A Month?
Yes, if you tax your car on the last day of the month, you will lose an entire month’s payment. The reason for this is that car tax runs on a month to month basis. If you pay your car tax on a monthly basis and make a payment at the end of the month, it will be counted as the payment for the running month that is about to end. If you pay your car tax on a six-monthly basis, making a payment at the end of a month reduces your payment to five months in the future. Similarly, in the case of an annual payment, it will be taken as an 11-month payment for the next car tax term.
If you have purchased or registered a car to your name, you will be required to apply for a Vehicle Excise Duty (VED). Otherwise, the DVLA will send you a V11 reminder to do so. The purpose of this reminder is to set up your vehicle tax. You will receive an annual reminder to renew your car tax.
If you have not been able to tax your car due to a misplaced logbook, you can apply online through the DVLA website or through the post. It usually takes 6 weeks for your new logbook to be delivered. Payments can be made through local post offices registered for car tax. You may use a debit card, credit card or direct debit facility to make your car tax payment(s).
In the meanwhile, you can pay your car tax using your V11 reminder notice which states the vehicle owner’s name and the amount of car tax due for the next tax term and can be used as proof of identification.
However, if it is a new vehicle you will need a V5C/2 Green slip that is issued to new car owners while the ownership of their vehicle is transferred from the previous owner. If the car is not registered in your name, neither can you pay car tax, nor drive it on public roads.
How Soon Can I Tax My Car Before The End Of The Month?
You can tax your car 2 months in advance before your current car tax expires; however, if your car tax expires at the end of the month, you can pay the amount by the 5th day of the month. These payments can either be through cheque, postal order, online or through direct debit.
If you are making an advance payment, you will need the following documents:
- Your vehicle registration certificate or logbook
- An application for advance payment along with reasons
- Complete V10 form for vehicle tax and V85 form in case of a heavy good vehicle
- An MOT or goods vehicle testing (GVT) certificate (in case you need one)
- A cheque, postal order or banker’s draft with the full amount payable to DVLA Swansea
How Long Does It Take For Car Tax To Show Online?
According to the Driver and Vehicle Licensing Agency (DVLA), it can take up to 5 working days for renewed car tax to show online.
You can check the status of your car tax payment via the DVLA’s Vehicle Enquiry System. At the same time, you will get an update regarding the insurance payments of your vehicle as well.
If you have purchased a brand new car and you are the first owner, you may want to check if the car tax has already been paid as dealers usually arrange for its payment while making a sale. Most of the time your car tax is included along with the price of your car and any registration fee that is to be levied.
Will I Get A Car Tax Reminder?
Car owners receive a reminder from the Driver and Vehicle Licensing Agency around three weeks before their vehicle tax is about to expire. This is called a V11 reminder. This letter can be taken to the nearest local post office which has car tax facilities and used as a reference to pay your car tax. If a vehicle owner loses their V11 letter, they can use their 11 digit reference number from their logbook known as V5C.
To pay your car tax online from the post office, you will need the following documents;
- Your V11 letter
- An MOT test certificate
- The amount of payment mentioned in the V11 letter
If you have misplaced your V11 letter or your V5C, your car tax can still be renewed through the local post office.
At this time, you should also apply for a new Registration Certificate using a V62 application form A for £25.00
However, if you do not intend to run your car on public roads, you are not required to pay your car tax. Instead, you should apply for Statutory Off Road Notification (SORN) through your local post office dealing with car tax.
Who Has To Pay Road Tax?
Anyone with a roadworthy vehicle in the UK is required to pay road tax (also referred to as car tax, vehicle tax or road fund license. This is a mandatory, annual payment enforced by the Driver and Vehicle Licensing Agency. The amount due on a vehicle owner depends on the type of vehicle they drive as well as the level of co2 emissions from their car.
The following vehicles are exempt from road tax:
- Cars used by a disabled person
- Disabled passenger vehicles
- Electric vehicles
- Historic vehicles
- Mobility scooters and powered wheelchairs
- Mowing machines
- Steam vehicles
- Vehicles used for agriculture, horticulture and forestry
Will I Get Fined If I Forgot To Tax My Car?
Yes, you will be fined by the Driver and Vehicle Licensing Agency (DVLA) if you forgot to tax your car.
If your car is not taxed and is found on the road by the authorities, you will be fined £80 for driving an untaxed vehicle. If you pay the fine within 28 days, the amount will be halved and you will only have to pay £40. However, if you do not pay the fine within the stipulated time, the amount can increase to £1,000 and you can be taken to court or your vehicle can be clamped so that it cannot be driven until the fine is paid.
How Much Road Tax Do I Have To Pay?
Road tax or Vehicle Excise Duty in the UK is calculated on the basis of a few factors including the engine size and CO2 emissions of the car.
However, the UK road tax system is divided across two separate rates. The first-rate applies during the first year of a car on the road when its CO2 emissions are also accounted for while calculating the tax rate. It may range from £0 for zero-emission cars to £2,245 for cars that emit 255g/km or more.
From the second year onwards, the CO2 emissions will not account for road tax, rather the original cost of the car will be considered for calculations.
Cars that are valued at or above £40,000 will be taxed a further £335 annual supplement that runs for five years. After this time-lapse, they will be taxed at the current tax rate applicable during the tax term.
The current (2021-22) road tax is set at a flat rate of £155. This is an increase from £150 in the 2020/2021 financial year) to adjust for inflation. There’s a £10 annual discount for alternatively fuelled vehicles such as hybrids, mild hybrids and plug-in hybrids. Therefore, their owners pay £145 annually.
Paying your car tax at the end of the month will only be advisable if (a) you pay your car tax on a month to month basis (b) your car tax for the current month is due. Otherwise, if you intend to pay car tax for the next month, next six months or the next year, you will end up losing a month’s payment if you pay at the end of the month. However, if you do not intend to run your car on public roads, you are not required to pay your car tax. Instead, you should apply for Statutory Off Road Notification (SORN) through your local post office dealing with car tax.
FAQs: If I Tax My Car On The Last Day Of The Month Will I Lose A Month?
How many days grace do you get to tax your car?
There are no grace days to tax your car since the end of car discs that used to be received via postal service. It is generally advisable to pay your car tax as soon as you receive your V11 reminder.
Does car tax go from the 1st of the month?
Yes, car tax is accounted for from the first day of the month to its last day. Therefore, it is better to pay your car tax at the beginning of the month to avoid losing a month’s payment.
What happens if you forget to tax your car?
You will be fined by the Driver and Vehicle Licensing Agency (DVLA) if you forgot to tax your car.
What happens if you get caught without car tax?
If you get caught without car tax, you will be fined £80. If you pay the fine within 28 days, the amount will be halved. However, if you do not pay the fine within the stipulated time, the amount can increase to £1,000 and you can be taken to court or your vehicle can be clamped.
Can you tax a car for a day?
No, the DVLA does not allow temporary car tax; so you cannot tax a car for a day.