Car tax evasion triples after paper tax disc scrapped

Since the paper tax disc was abolished the number of unlicensed vehicles on the road has tripled.

The data, published every two years, shows that the government potentially lost out on £107m from 755,000 unlicensed vehicles last year.

The RAC said the decision to get rid of the paper tax disc three years ago has proved "costly" when it should have saved the Treasury £10m a year.

"It appears that having a visual reminder was an effective way to prompt drivers into renewing their car tax - arguably more drivers are now prepared to try their luck and see if they can get away with not paying any vehicle tax at all, or are simply forgetting to tax their vehicle when they are due to."

When the abolition of the paper tax disc was announced by then-Chancellor, George Osborne, the Treasury said it showed government was moving "into the modern age".

The RAC said a third of untaxed vehicles had changed hands since September 2016, indicating that many drivers were not aware that tax does not carry over when ownership changes.

The seller receives a refund of any full months of remaining tax while the new owner must tax the vehicle immediately.

For more on this story please see BBC

Are untaxed drivers getting away with it now paper discs have gone?

Image and full story confused.com

The abolition of the tax disc October 2014 raised fears it would become easier for motorists to get away without paying Vehicle Excise Duty (VED).
The  DVLA says that, despite some motoring organisations warning that the change could lead to a sharp rise in the number of untaxed vehicles, "the vast majority of drivers continue to tax their vehicles on time".

A spokesman adds: "Since 1 October, more than 16-and-a-half million drivers have taxed their vehicles – with over 70% doing it online, more than ever before."

The DVLA is confident that the new system will not see more tax evasion. This is mainly because even before its abolition, the tax disc was not the chief means of ensuring VED had been paid. The DVLA staff rely on its own database to see who has failed to tax their vehicles, with the keeper of an untaxed car sent a penalty notice in the post.

Fines for failing to pay tax can be steep: there is a potential fixed-penalty notice fine of £50 and untaxed vehicles can be clamped, with a £100 release fee charged. A £160 surety also has to be paid before the vehicle is released, although this is refunded provided the vehicle is taxed within two weeks.

ANPR cameras are also used to catch offenders, says Ian Crowder at the AA.
"There is the risk that the abolition of tax disc will encourage some people to believe these things won't be followed up," he adds.

It would appear however that changes to the vehicle tax system that were introduced at the same time as the disc was phased out are catching some motorists out. These changes meant that tax on a vehicle no longer carries over to a new owner as it did before October 2014 making it the responsibility of the buyer to pay tax immediately even if the vehicle is only part way through its current tax year. (the seller will automatically get a refund of any tax remaining when they sell it)

"This simplifies the process of buying and selling used vehicles as now all new keepers must tax the vehicle before they use it rather than having to find out if it’s taxed or whether the seller has had the tax refunded."

New Use for Tax Disc Holder - Really Quite Clever!

Wondering what you were going to do with your tax disc holder now that car tax is going paperless?

You were just going to rip it off and chuck it in the bin STOP!

Or at least read this first and see what you think....

PC Dave Wise and colleagues, based in Malvern, Worcestershire have dreamt up a new use for the licence disc holders that every car carries on its windscreen - one which could save lives.

They have come up with an emergency contact information and medical alert card.

Image Credit theboltonnews.co.uk

PC Wise said: "This is a really useful replacement for your tax disc. if a driver is involved in a collision or has a medical emergency whilst at the wheel, a first responder will have easy access to vital medical information and we can quickly contact next of kin. The way the disc folds in on itself means all the information is kept private until needed by emergency services personnel."

They have even created the template for you to print, cut out and fill in, which is available either via their Twitter account @MalvernCops or you can download and print the form here: ECDiscUpdate.pdf

"We will be linking in with local ambulance and fire commanders to make them aware of this initiative so they can be on the lookout for these emergency contact discs," said PC Wise.

How Do I Renew My Car Tax Disc Using DVLA's New System 2014

Are you one of those who are currently looking to renew your car tax disc and a little confused now that there is no paper Disc involved? 

The last thing you want is to get a hefty fine because you didnt comply!

There are a few options for getting your car tax renewed under the new system:

• Online
• Phone
• In person

OnlineThe new GOV.UK renewal service is now live, though officially still in beta.

Phone0300 123 4321.  charges may apply.

In personRenew at the local Post Office. Take your completed V11 reminder (or your V5C), an MOT test certificate if required (must be valid when the tax starts), and the payment shown on the reminder

Rumour as it that the website and phone lines are struggling with a surge or eager beavers so unusually you may actually find that doing it in person is quickest! Have you already applied? what was your experience?