The death of the tax disc is imminent, which means drivers have to learn the new rules regarding tax – or risk facing a £1,000 fine.
From October 1st, a new electronic system will be replacing paper tax disks. The new tax must be registered for online via Direct Debit on the DVLA website, or at a Post Office branch. Those who fail to register for the tax will be caught out by number plate recognition cameras which track each vehicle on the road.
The new method aims to streamline services and save British businesses millions of pounds a year in administrative costs.
Keep in mind that when buying a used car, you will no longer benefit if there are months left on the tax disc as the vehicle tax will not be transferred with the car. It will be possible to get refunded for the months left on your tax disc after the switch.
It is the seller of a vehicle’s responsibility to inform the DVLA of a change of ownership, otherwise they could face a £1,000 fine. You can do this by filling out a V5C form and sending it to the DVLA.
Both the drivers and owners of the cars are able to be fined if tax is not kept on top of.
Julie Daniels, who is head of motor at comparethemarket.com, said that the removal of the tax disc should have a positive impact on premiums, as well as in turn eliminating tax dodgers from the road.
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