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Are you owed a car tax rebate?
Motoring consultants are warning UK drivers to take the mandatory steps after promoting their vehicles, after it was revealed hundreds of thousands of Brits may very well be lacking out on cash owed from the federal government in car tax.
After folks promote their vehicles, they don’t seem to be claiming again car tax, in keeping with LeaseCar and LeaseElectricCar. Automobile tax funds can vary from £0 for absolutely electrical autos to a staggering £2,605 yearly, relying on the car mannequin.
Final 12 months the preferred promoting used automobile was the Ford Fiesta. The 2020 mannequin has car tax costing £155 per 12 months – which means motorists may very well be lacking out on a whole lot, and even hundreds of kilos owed to them in tax refunds. Now, greater than ever, claiming again cash you’re rightfully owed is necessary as the price of dwelling continues to chunk.
After all, the quantity that may be claimed again is determined by what automobile they’ve offered – age, make, mannequin, and the way way back. After informing the DVLA that the automobile has been offered, drivers want to use for a tax rebate as quickly as they will to get the utmost of cashback attainable. Solely full months’ price of tax could be claimed – so time is of the essence.
In 2022, virtually seven million autos modified fingers within the UK. Ford Fiesta topped the chart for probably the most offered used mannequin of automobile. With automotive commerce and creation restricted because of the pandemic and related world lockdowns, the used automobile market has soared in recent times.
On account of elevated demand for second-hand vehicles, nevertheless, the value of used vehicles has elevated. The scarcity of latest vehicles over the Covid-19 years meant folks had been trying to purchase from others. The truth is, in July 2022, the typical sale value of a used automobile within the UK was up virtually 20% on the earlier 12 months – sitting at a cool £17,173.
Tim Alcock from LeaseCar says:
“Any driver who has just lately offered their automobile after paying highway tax shall be eligible for a refund from the federal government. If you happen to’ve paid your highway tax for an entire 12 months but promote the automobile after a few months – you’ll be eligible to obtain many of the tax again into your checking account.
“It’s necessary to notice that the DVLA tax refund solely applies for full months, so it’s finest to use on your refund immediately to keep away from lacking out on any money. After promoting your automobile, drivers ought to inform the DVLA as quickly as attainable to make sure they get as a lot a refund as attainable.
“Earlier than promoting a car, the logbook (V5C) also needs to be up to date to replicate any change of identify, handle or modifications made to the automobile. Any particulars that are incorrect might forestall motorists from getting a tax rebate.
“Additionally, guarantee to inform the DVLA that you simply’ve offered your automobile, and supply the complete identify and handle of the customer. Failing to take action might also cease you getting any a refund.”