Road Tax Losers: Who Gains And Who Loses

 Car-Tax-Rise

Road Tax Losers: Who Gains And Who Loses

The cost of travelling around in a car as from April 2017 will become exorbitant or unduly high for a lot of car users. Various models of cars we are looking to buy will all get new VED tax rules and will see the tax on them go as high as 25% over three years duration as part of the new wide range tax regime. Under this system, road tax popularly known as VED or vehicle excise duty will be based on list prices and vehicle emissions as the new tax rates are now based on running a zero emission car and increasing its advantages after costing the government to lose millions of pounds from its revenue.

As of April 1 the only cars that will be free will be electric cars with cost price running less than 40 thousand pounds or with no emission whatsoever and sports cars and SUVs which cost less also with low emissions. Regular hybrids cars will see the tax on them triple although buyers still have till April 1 to do some bargains while cars that without any tax under this current rule will see the tax on their cars run into thousands of pounds for emitting over 255 grams per kilometre

The standard VED rate on all cars will be around £140 no matter their Co2 emission level. Furthermore every vehicle with a cost price of over £40 thousand pounds will be made to pay a charge of £2,000 for the first year from £30 and subsequent years will pay £310 on top the flat rate of £140 for year two and six before going back to paying £140 also those cars with zero emissions will be liable to pay £310 payable each year after the expiration of your first vehicle license for the next five years.

The following sets of numbers sites the new VED tax as from April measured with C02 emissions, first year tax rate and standard tax rate.

0 £0 £0, 1 – 50 £10 £140, 51 – 75 £25 £140, 76 – 90 £100 £140, 91 – 100 £120 £140, 101 – 110 £140 £140, 111 – 130 £160 £140, 131 – 150 £200 £140, 151 – 170 £500 £140, 171 – 190 £800 £140, 191 – 225 £1200 £140, 226 – 255 £1700 £140, Over 255 £2000 £140

Therefore the big road tax losers are the Lexus RC 300h with the cost of tax rising a whopping 2475% from £40 to £1,030, Mercedes Benz C250d with a 1667% rise from £60 to £1,060, Mercedes Benz S300h with a 2475% rise from £40 to £1,030, Lexus RX 450h with a 2475% rise from £40 to £1,030 pounds, Audi A6 with a 1667% rise from £60 to £1,060, Mercedes Benz E200d with a 1667% rise from £60 to £1,060 and the Lexus GS300h with a 2475% rise from £60 to £1,060.

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