Car taxes, also known as vehicle tax are the taxes levied upon the vehicles to be used on the public roads of the UK, or parked for that matter. These taxes are to ensure the lawful ownership and use of the vehicles owned by people.

A car tax details or proof was shown through the tax disc until October 2014 as a sign of having paid the vehicle excise duty. Since then, there is no need to display it can be traced from the number plate of the car and the information could be retrieved from the database by the concerned authorities.

How is Car Tax Calculated

Car tax is calculated based on the bands. There are thirteen bands representing the engine size which is the common determinant when it comes to the band and hence the car tax levied. But that has changed since March 2011 and now the band is determined based on the CO2 emission rates per kilometre. The first year rate which is lower for vehicles is said to be an indication about the environmental impact of one’s vehicle.

These thirteen bands (A-M) are the source of ease when it comes to calculation of vehicle tax on your own, with the band A starting from up to 100g/ kilometre, and ending at band M which crosses the barrier of 255g/kilometre and is charged the highest. This encourages fuel efficiency and stresses on the very importance of it along with the benefits a person enjoys with the high band cars.

The increase in taxes over time has been signalling the high rates of fuel and wastage of it. That could be one of the reasons why the shift of the tax based on car engine to the one based on emission rates took place. This has been done by the government of the UK to encourage green environment and less wastage of fuel along with violation of basic environmental rights. The high taxes for the cars with band M or around that are a dearth to the non-green vehicles. Not only that, but the incentive given to the band A, and further of the similar category in the form of tax exemption has witnessed surprising results since the introduction of the law.

How do I apply for Car Tax?

If you own a vehicle, you’ll be receiving the V11 reminder letter for the payment of your taxes. There are no exemptions on this tax so you need to make sure you pay it on time. A logbook which is also known as the V5c registration certificate could be used along with the option of keeper supplement V5C/2 for taxing your vehicle if you’ve just bought it. You can tax your vehicle by phone or by post to the post office which deals in vehicle tax. While paying your tax at the post office, you’ll have to pay for either your V11 or the V5C registration or V5C/2.

People who own a vehicle but do not use it on the roads need not pay the taxes by the law of the UK. However they’re supposed to make a SORN notice which is the Statutory Off Road Notice for keeping the vehicle no longer in use.

The taxation system makes it easy and permissible to use the vehicles in the country with comfort and as a law abiding citizen.