New car tax changes with ‘golden rule’ could help drivers shave off extra costs

Drivers could save money ahead of the new car tax changes.

The Vehicle Excise Duty (VED) rates are set to rise in line with inflation in April.

Many motorists in the UK would be concerned with extra fees adding onto the increase cost of living.

Now a car expert has warned drivers of the rules they have to following when paying car tax, reports Express.co.uk.

Kevin Pratt, from Forbes Advisor, said: "The golden rule is, your car must be taxed at all times, even if you never drive it.

"Unless, that is, you apply for a Statutory Off Road Notification (SORN) from the DVLA and park on a drive, garage or on private land."

He added: "But if you do have a SORN, you must tax the vehicle before you drive it or park it on a public road, or risk a £2,500 fine.

"If the annual tax payment you're facing is too much to pay in one go, you can opt to pay monthly or you can pay every six months."

Drivers can either take their car off the road or on the first day of the next month.

They will get a refund for any full months of remaining tax.

Motorists do not need to make a SORN for a vehicle they have sold.

This requires drivers to tell the DVLA they no longer own the vehicle if they buy a car as a registered keeper or motor trader.

Kevin said: "Bear in mind this won't save you money in the long run, as a 5% surcharge is levied on your tax bill for this flexibility.

"Remember that if you have an electric vehicle with zero emissions and a £0 tax charge, or if you qualify for the £0 rate because you are disabled or drive a car that's over 40 years old, you still have to register for VED – you just won't have to cough up any money."

The government states drivers need to make a SORN when they take the vehicle "off the road" and want to stop taxing and insuring it.

Even if the car is uninsured for a short period of time, the car must have a SORN.

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