VED
- Thread starter Pork
- Start date
For cars registered from 01 April 2017, VED for the first 12 months is covered by a First Year Rate (FYR) which is directly linked to a car's CO2 emissions
The £1420 would only be payable in the first when the car is first registered and would usually be included in the price quoted by the dealer.
After year one, cars are categorised as: Zero-Emission, Standard, or Premium. Other than Zero-Emission cars which are exempt from VED, a Standard Rate (SR) applies to those with a list price of less than £40,000, which are charged a 12-month rate of £165 irrespective of their emissions, unless they qualify for the Alternative Fuel Discount in which case they pay £155.
The Premium Rate (PR) applies to cars (including ULEVs) with a list price of £40,000 or more. The only exemption are zero-emission models, which pay nothing in VED, as announced in the March 2020 Budget. The Premium Rate, which applies from the second year for five years, consists of the Standard Rate (with or without Alternative Fuel Discount) plus an additional £335, the rate reverting to the Standard Rate after five years.
Ah, jeez - not sure how I missed the part that applied to first year only costs - so for years 2 to 5 it wouldn’t make any difference, it would be the same for any 40k+ car?
Been waiting a long time for the new one, just spent the last hour looking at alternatives (none of which really appealed)
Been waiting a long time for the new one, just spent the last hour looking at alternatives (none of which really appealed)
Yep anything over £40k gets caught - worth noting that the list price is the retail price published by the manufacturer before the vehicle is passed to the dealer for registration. This includes the price of any non-standard options, VAT, delivery charges to the dealership, and pre-delivery inspection charges.
It is not the same as the OTR price, which includes VED and the first year registration fee and any discount offered by the dealer would not impact the position either
