Road Tax on 6 months old Karoq

[logiclee]

Hi All,

 

After 15 Skoda's including 4 Yeti's I will pick up a 6 months old Karoq 1.5TSI DSG SEL on Wednesday.

 

One thing I'm confused on is the first years Road Tax is £270 and second year onwards is £190.

 

So at 6 months old what do I pay for a year?

 

Anyone done similar?

[bigjohn]

 

It's classed as "First licence rates for cars" payable on registration so thereafter I would suggest it'll be £190 for the year. 

[kodiaqsportline]

Can see where you're coming from but as per above, the first year tax was paid by the first owner. You'll be £190 for a full 12mth ( lucky ur picking up car on the 1st of the month ) 

 

I didn't realise until now it'd gone up again to £190. It feels like this rotten government have a mini budget every few months !

[logiclee]

4 hours ago, kodiaqsportline said:

 ( lucky ur picking up car on the 1st of the month ) 

 

 

 

I initially thought that but I'll loose a month refund on the tax on my current Yeti which is more expensive so I probably loose out.

 

I bought the Karoq a week ago but had to leave it 7 days + to wait for the logbook back for my Yeti after number plate swap.

[Berisford]

It’ll be interesting to see how this pans out and exactly what you have to pay Lee - keep us posted.

Apparently there is confusion and seemingly no circumnavigation for the so called ‘luxury tax’ applied to cars - I’ve read that the higher rate applies even when on a SORN?

[Winston_Woof]

18 hours ago, bigjohn said:

 

It's classed as "First licence rates for cars" payable on registration so thereafter I would suggest it'll be £190 for the year. 

so here's a scenario.

Statement1: VED is no longer transferable
Statement2: First Year VED is £270 inc First Licence Rate(FLR) then £190 per year subsequently


What if the Original Purchaser Sells the car after 6 months?

Does the New Owner Pay  £230  for the next 12 months (£190 + £40 being 50% FLR)? 

If the car isn't sold for a further 6 months and the above was true then would the next 12 months be classed as Year 2 or would they pay the same as the above?

 

[bigjohn]

As far as I know the extra £40 is paid by the original owner at point of registration and that part wouldn't have been refunded. That's why the wording was changed to "First licence rates for cars". So £190 thereafter , well unless the original list price was over £40k.

 

 

[Winston_Woof]

5 minutes ago, bigjohn said:

As far as I know the extra £40 is paid by the original owner at point of registration and that part wouldn't have been refunded. That's why the wording was changed to "First licence rates for cars". So £190 thereafter , well unless the original list price was over £40k.

 

 

but what if they had elected to Pay monthly? ;o)

(ok highly unlikely on a new car purchase but.................................

[bigjohn]

1 minute ago, Winston_Woof said:

but what if they had elected to Pay monthly? ;o)

(ok highly unlikely on a new car purchase but.................................

 

 You can't pay monthly when new  - From Gov.uk:-

 

"You’ll pay a rate based on a vehicle’s CO2 emissions the first time it’s registered." & "This payment covers your vehicle for 12 months." then "Rates for second tax payment onwards"

 

[Stonekeeper]

The first year payment is on first registration  The + £40,000 supplement is from the next time it is paid.

 

If a car is sold within the first twelve months the new keeper has to pay the rate for the vehicle as if it was the 2nd year which would include the supplement if applicable.

 

 

The supplement would no longer apply for 6 years it would apply for 6 years - the months it was sold earlier than 12 months. E.g sold after 3 months would be 5 years 3 months

 

https://www.dragon2000.co.uk/ved-road-tax-changes-guide-for-car-dealers/

[bigjohn]

11 minutes ago, Stonekeeper said:

The + £40,000 supplement is from the next time it is paid.

 

If a car is sold within the first twelve months the new keeper has to pay the rate for the vehicle as if it was the 2nd year which would include the supplement if applicable.

 

The supplement would no longer apply for 6 years it would apply for 6 years - the months it was sold earlier than 12 months. E.g sold after 3 months would be 5 years 3 months

 

 

I don't think the Karoq 1.5TSI DSG SEL that Logiclee has bought would be in the £40k+ list price new category. Saying that my mate fell in that trap buying a nearly new Volvo S90 a few years ago - tax was a surprise as it's original list was just over £40k, ouch. Fortunately it's over the first year ( or less) + 5 years now. 

[Stonekeeper]

1 minute ago, bigjohn said:

 

I don't think the Karoq 1.5TSI DSG SEL that Logiclee has bought would be in the £40k+ list price new category. Saying that my mate fell in that trap buying a nearly new Volvo S90 a few years ago - tax was a surprise as it's original list was just over £40k, ouch. Fortunately it's over the first year ( or less) + 5 years now. 

 

 

I have noticed a few dealers now saying Road tax included when selling second hand cars, so imagine it is to hide the high VED costs from a naive buyer.

[Winston_Woof]

18 minutes ago, Stonekeeper said:

 

 

I have noticed a few dealers now saying Road tax included when selling second hand cars, so imagine it is to hide the high VED costs from a naive buyer.

how does that work then if they've been transferred into them on the yellow part of the V5.

I thought you could only tax a vehicle if you were the registered owner (either as an individual or in a business name) and not if  it had been transferred into the trade

[Stonekeeper]

31 minutes ago, Winston_Woof said:

how does that work then if they've been transferred into them on the yellow part of the V5.

I thought you could only tax a vehicle if you were the registered owner (either as an individual or in a business name) and not if  it had been transferred into the trade

 

During the sales process, they tax the vehicle in the purchasers name

[Winston_Woof]

27 minutes ago, Stonekeeper said:

 

During the sales process, they tax the vehicle in the purchasers name

and hope the purchaser doesn't notice the VED cost ;o)

[logiclee]

3 hours ago, bigjohn said:

 

I don't think the Karoq 1.5TSI DSG SEL that Logiclee has bought would be in the £40k+ 

 

List was around £35k with the options added so I won't be in the £40k+ bracket.

[logiclee]

I've since found a post of a guy that bought a GR Yaris new with high first year tax and sold it before 6 months.

 

He received a refund of the £190 component but not the full 1st years tax.

 

So it would seem any second owner just pays the standard 2nd year cost.

[thamestrader]

Having just carried out this exact process on Friday (26th Apr 24) I can confirm that the new owner of a vehicle less than 12 months old, will pay the 2nd year VED rate. In my case a 2.0 TSI Sportline first registered in Sep 2023 which incurred a VED rate of £1040, I paid £190 for 12 months from 1st April 24 to 31 March 2025.