DVLA warns two types of driver face '5 per cent' surcharge in car tax

Those paying monthly or every six months face a 5 per cent surcharge as new VED rates and bands begin under the Labour Party government from April.
-Credit: (Image: Reach Publishing Services Limited)


The DVLA has warned two types of driver face a "surcharge" on car tax and Vehicle Excise Duty. Those paying monthly or every six months face a 5 per cent surcharge as new VED rates and bands begin under the Labour Party government from April.

"When you set up a Direct Debit for vehicle tax, it will renew automatically when it’s due to run out – so there's no need to worry. Set up your Direct Debit here: http://gov.uk/dvla/tax #TaxItDontRiskIt," the DVLA has warned on Twitter/X.

The amount you pay depends on how often you want to make a payment. There’s a 5% surcharge if you pay monthly or every 6 months. There’s no surcharge if you pay yearly. You need your address and date of birth and your bank or building society name, account number and sort code.

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You cannot set up a Direct Debit for an account that needs 2 signatures. You’ll get a confirmation by email or post that your Direct Debit has been set up. The first payment will not be taken until the vehicle tax has started. It can take up to 10 days. You can still use the vehicle before the payment is taken.

All the following payments will be taken on the first working day of the month that the Direct Debit is due. The DVLA explained: "Your Direct Debit for vehicle tax will renew automatically when it’s due to run out. You’ll get an email or letter telling you when your payments will be taken.

"You will not be sent a vehicle tax reminder letter (V11). Do not tax your vehicle again. If you do, you’ll be charged twice. The vehicle keeper must have a vehicle logbook (V5C) before the vehicle tax is renewed. Your Direct Debit will not automatically renew if there’s no vehicle keeper in DVLA’s records.

"If you do not get an email or letter when your vehicle tax runs out, you should contact DVLA."