Purchasing a demo

[Lborob16]

Just a question.... I’m a bit confused about the new road tax situation!

 

in purchasing a demo (registered in March) would I be liable for the first year extra payment? Or once this is done when first registered it is transferable

 

ive had a quick google but can’t see anything about transferring in the first year.

 

 

[The Zee]

I don't know whether you would be liable as a "second" owner as it has already been paid on registration, but for sure car tax is not transferable any more. The tax that is on the vehicle will be cancelled and the remaining months returned to the dealer and you would have to tax it yourself from scratch.

[Vectis]

No, just £140 I think it is for a years tax, I bought a 2 month old demo.

[Lborob16]

Thanks guys..

 

vectis ...just trying to make sure the dealer doesn’t pull one on me and charge the first year !   So you just paid for the second year?

 

[VAGCF]

Interesting point, as it's not really the second year if it's only a few months old and the DVLA could potentially lose out when they reimburse the dealer/seller, particularly with regards to cars with very high initial road fund licences.

[Vectis]

1 hour ago, Lborob16 said:

Thanks guys..

 

vectis ...just trying to make sure the dealer doesn’t pull one on me and charge the first year !   So you just paid for the second year?

 

You can't transfer road tax and as the 1st year has been paid on registration by the dealer you just pay what the normal annual road tax is. I hope you got a good deal on the demo.

[skoda1982]

The first years road tax is in with the price of the car for the first year. If you buy a demo or pre reg it cancels the first year. You have to pay for the 2nd years road tax 

Karoq 1.0l is £160 first year and then £140 from the second year

Edited 16 May, 2018 by skoda1982

[Lborob16]

Cheers.

 

think I got a good deal on the basis the car had some options and we haven’t had to wait 3months for delivery.  I used car wow to get a base figure and worked on that!

 

[SurreyJohn]

On the grounds that legally dealers cannot re-sell demos and pre reg for 90 days, so I suspect you might have only reserved it

if it was first registered in March, you wont be able to tax and register it until July

If you can't tax it, you wont be able to use it on the road, and if you don't own it, might not be able to insure it

 

I would double check if it is subject to the 90 day restriction from first registration

 

 

 

[Vectis]

20 minutes ago, SurreyJohn said:

On the grounds that legally dealers cannot re-sell demos and pre reg for 90 days, so I suspect you might have only reserved it

if it was first registered in March, you wont be able to tax and register it until July

If you can't tax it, you wont be able to use it on the road, and if you don't own it, might not be able to insure it

 

I would double check if it is subject to the 90 day restriction from first registration

 

 

 

The Karoq demo I bought was only 2 months old. It was registered on the 9th January and I picked it up on the 9th March.

Edited 17 May, 2018 by Vectis

[Vectis]

17 minutes ago, Lborob16 said:

Cheers.

 

think I got a good deal on the basis the car had some options and we haven’t had to wait 3months for delivery.  I used car wow to get a base figure and worked on that!

 

What model and spec have you got?

[nickfrog]

3 hours ago, SurreyJohn said:

On the grounds that legally dealers cannot re-sell demos and pre reg for 90 days,

 

 

There is no law against it.

[Karman]

My last car was a ex demo and I was told they have to keep it 90 days to be able to claim company tax for it, I assume some sort of tax perk.

[nickfrog]

Yes there may be a fiscal incentive but no law against it if they are happy to forego the former.

[Ootohere]

 

Fiscal Incentive being increased profit at tax payers expense,

Foregoing the former is the important bit, and as for the 'law;  the law is there, and the HMRC the ones that impose their law.

Dealers facing 'imminent HMRC crackdown' over demonstrators - Car Dealer Magazine.mhtml

Demonstrator car VAT scheme was abusive, Supreme Court has ruled.mhtml

Edited 17 May, 2018 by Offski

[Lborob16]

Interesting stuff!

 

mine was registered in March and picked it up today! No problem with anything.

 

 

1.5 dsg Edition !   Rides very nicely ...if a little bit worse than the se spec!

[Ootohere]

Enjoy it.

 

?

How many miles has it done?

Did you go check the tyre pressures as handed over and reset the TPMS if you change the tyre pressures?

Edited 18 May, 2018 by Offski

[Lborob16]

Cheers.

 

think I got a good deal on the basis the car had some options and we haven’t had to wait 3months for delivery.  I used car wow to get a base figure and that was matched.

 

Offski...2000 mls ....and just going to check pressures now!!! 

 

[Ootohere]

2,000 miles only and registered less than 3 months ago does not sound like a demonstrator, was that how it was advertised and what you were told it was.

Is it the Dealership that was the Registered Keeper?

Edited 19 May, 2018 by Offski

[westie38]

Picked up my car 16/02 with 1743 miles  - first registered 03/01.  Just happened to be the right car, at the right time, at the right price.  Could never be a***ed to wait months for any car, let alone a Karoq, there's so many nice cars out there waiting for a new owner. Having said that, can't fault it so far.

[nickfrog]

On 17/05/2018 at 23:11, Offski said:

 

Fiscal Incentive being increased profit at tax payers expense,

Foregoing the former is the important bit, and as for the 'law;  the law is there, and the HMRC the ones that impose their law.

Dealers facing 'imminent HMRC crackdown' over demonstrators - Car Dealer Magazine.mhtml

Demonstrator car VAT scheme was abusive, Supreme Court has ruled.mhtml

 

We seem to agree then. Absolutely nothing illegal per se if the right fiscal process is applied.

[Ootohere]

I do not think we do agree.   Maybe we do agree though.

Not sure what we are agreeing to really, is it that the HMRC would be getting paid for the money the Dealership gets to not pay by having a demonstrator then selling it early.

i know about Demonstrators and the Tax Benefit of them to Dealerships.

 

We do not know what the people first registering did with the Tax / Duty, because if they benefited by the vehicles being Demonstrators they would be having to pay back to the HMRC if it is sold within 3 months / 3,000 miles.

 

Pre Registering cars to get them done before the end of a month or quarter or a change in the VED in the UK then using as a courtesy car, perk for staff etc maybe a showroom car not bought, is not the same as a car that was First Registered as a 'Dealership / Manufacturers Demonstrator.

Edited 20 May, 2018 by Offski

[Berniebantam]

Don't know if I bought a demonstrator or not. It was registered on 19/4 and used by the dealers sales rep. I bought the Karoq on 5/5 at 3 weeks old with 250 miles on clock. The road tax (for 1.0l) was £140. Told dealer i didn't want to wait for a new one and he found this one within the dealership.

[JohnD5314]

Mine was described as the 'Launch Car', and was sold to me (at a very good price, I might add) on 14th February 2018 with 5 miles on the clock. It was pre-registered on 16th January 2018. The dealer was the registered previous keeper. I only paid £140 VED - the first year extra payment was paid by the dealer.

[Lborob16]

Offski...ours wasn’t actively for sale when we first viewed it.  But the dealer was happy to sell it (obviously) .  Dealer was first owner