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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 tens of millions of Brits might be lacking out on cash owed from the federal government in overpaid car tax.
After individuals promote their vehicles, they don’t seem to be claiming again car tax, in accordance with LeaseCar and LeaseElectricCar. Car tax funds vary from £0 for absolutely electrical autos to a staggering £2,605 a 12 months, relying on the car mannequin.
Now, greater than ever, claiming again cash you’re rightfully owed is essential as the price of dwelling continues to chunk.
In fact, the quantity that may be claimed again relies on what automobile they’ve bought – together with the age, make, mannequin, and the way way back. After informing the DVLA that the automobile has been bought, drivers want to use for a tax rebate as quickly as they’ll to get the utmost cashback potential. Solely full months’ price of tax will be claimed – so time is of the essence.
In 2022, virtually seven million autos modified fingers within the UK. The Ford Fiesta topped the chart for the most-sold used mannequin of automobile. With automotive commerce and creation restricted as a result of pandemic and related international lockdowns, the used-car market has soared in recent times.
On account of elevated demand for second-hand vehicles, nonetheless, the value of used vehicles has elevated. The scarcity of latest vehicles over the Covid-19 years meant individuals had been trying to purchase from others. Actually, in July 2022, the common sale worth 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 lately bought their automobile after paying highway tax will likely 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 may be eligible to obtain a lot of the tax again into your checking account.
“It’s essential 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 potential to make sure they get as a lot a reimbursement as potential.
“Earlier than promoting a car, the logbook (V5C) also needs to be up to date to mirror any change of title, handle or modifications made to the automobile. Any particulars that are incorrect might stop motorists from getting a tax rebate.
“Additionally, guarantee to inform the DVLA that you simply’ve bought your automobile, and supply the complete title and handle of the client. Failing to take action may additionally cease you getting any a reimbursement.”