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Discussion Starter · #1 ·
thought this might be useful to post here;
The new car tax system isn't being phased in gradually, from October 1st 2014 you'll no longer need to display a road tax disc on your car windscreen.
Even if you have time left to run on your car tax, the little disc can be removed and binned, framed for posterity or disposed of in a burning longboat on the garden pond, whatever you feel is appropriate.
This doesn't mean you don't have to pay car tax though. The DVLA will send you a reminder when your road tax is up for renewal in the time-honoured fashion, you can then pay your road tax online, over the phone or at the Post Office.
The road tax price bands will remain the same, as will the existing options of paying for 12 or 6 months tax upfront but from November 1st there will be the option of paying your car tax monthly. This new monthly option arrives in tandem with the facility to pay your road tax by Direct Debit.
Drivers paying in monthly instalments from their bank accounts will be subject to a 5% surcharge on top of the road tax price itself. That's less than the 10% that's added when you pay for six months tax, an option currently used by 23% of motorists. Only the one-off annual payment comes with no extra charges.
The key advantage of paying your car tax by Direct Debit is that the DVLA will continue taking the payments until you tell them to stop. It means that you'll no longer need to remember to renew your car tax, it'll just happen and you can get on with more exciting stuff - like remembering your MOT.

What happens to your road tax when you sell your car?
Under the new car tax system, the process of selling your car will change. Any remaining road tax will not transfer to the new owner with the vehicle.
Instead, the seller will be able to get a road tax refund on any tax remaining on the vehicle, while the buyer will have to pay to re-tax the car.
The tax refund on a sold car will be sent automatically when the DVLA receives notification that the car has been sold, scrapped, exported or taken off the road with a Statutory Off Road Notification (SORN).
 
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