The way vehicle tax is calculated will change for cars that are first registered from 1 April 2017.

Added: 17 February 2017

The way vehicle tax is calculated will change for cars that are first registered from 1 April 2017.

For vehicles first registered on or after 1 April 2017, the amount you pay for the first 12 months will now be based on CO2 emissions. The amount you pay each year after that depends on the type of fuel the vehicle uses. The rates thereafter are:

·  £140 a year for petrol or diesel vehicles
·  £130 a year for alternative fuel vehicles (hybrids, bioethanol and LPG)
·  £0 a year for vehicles with zero CO2 emissions

Vehicles that cost over £40,000

The first time you tax a vehicle on or after 1 April 2017 with a list price of more than £40,000, you’ll pay the rate based on CO2 emissions.
After the first 12 months, you’ll pay a rate based on the fuel the vehicle uses and an additional rate of £310 a year for the next 5 years.

Fuel type
Standard annual rate
Additional rate
Total annual payment
Electric
£0
£310
£310
Alternative
£130
£310
£440
Petrol or diesel
£140
£310
£450

After 5 years, you’ll pay the standard annual rate depending on what fuel your vehicle uses.

For more information on what the tax changes mean for you please contact your local Fish Brothers dealership.









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