Vehicle Tax Exemption Explained

PostPost by: Donels » Sat Jan 14, 2023 12:14 pm

I came across the following article on Footman James. This was news to me as I thought it happened automatically.
May be of interest to other UK owners.
Dave

VEHICLE TAX EXEMPTION EXPLAINED

Taxing a historic vehicle or paying Vehicle Excise Duty (VED), otherwise known as road tax, has become more cost-effective for owners of older classic vehicles in recent years. The first wave of rolling vehicle tax exemption was abolished in 1997, meaning that for the next 18 years most owners of a classic vehicle built after 1 January 1973 were not entitled to free road tax.

That was until the 2015 budget, when the UK Government introduced rolling vehicle tax exemption once again. This applies from the start of each financial year (1 April) for vehicles manufactured more than 40 years before 1 January of that year. In 2023, eligible classic vehicles exempt from road tax must have been built before January 1983 and be registered with the DVLA under historic status.

Classic vehicle owners received another cost-saving benefit from the UK Government in 2018, in the form of the current rolling MOT exemption age law. Previously only vehicles manufactured before 1960 were MOT exempt but these rules have now been brought in line with vehicles built more than 40 years ago, which also qualify for road tax exemption.

It’s important to remember that simply waiting for your classic vehicle to turn 40 will not result in automatic tax and MOT exempt status. To apply for free road tax and classic vehicle MOT exemption from 1 April, you must be able to prove your vehicle’s road tax exemption age – that it was built more than 40 years before 1 January of that year.

To register your classic vehicle as historic, you’ll need to change the V5C registration document. This involves completing ‘section 7’ of the V5C/logbook to change the vehicle class from ‘PLG’ (Private Light Goods) to ‘Historic.’ Take the updated V5C, a valid MOT certificate and a completed V10 tax request form to your local post office, where someone can make the necessary checks and process your historic vehicle tax exemption request.

After your first year of classic vehicle tax exemption, you will still receive an annual V11D road tax reminder from the DVLA, as with any other privately owned vehicle. You won’t need to pay, but you will still need confirm that your historic vehicle is still either roadworthy and in use, or off the road with a Statutory Off Road Notification (SORN). You can do this via the DVLA website, at your local post office or over the phone.
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PostPost by: alanr » Sat Jan 14, 2023 1:56 pm

Yes that is pretty much as I understood the process and initial 'Historic Vehicle' changeover procedure to be.
I was lucky and avoided the inital Historic Vehicle MOT hoop jump. My +2 had previously been changed over to 'Historic Vehicle' prior to me owning it in 2018 so after registering it in my name I just changed it online from SORN when I got it up and running and obtained the RFL online. Took me 5minutes.

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