[BeeEmmDubleYuu]

How could i find out the list price of my 520D M Sport (with paddle shift and Sat Nav etc) as my car tax for this year is £30 but some say it could be as much as £450 next year?

[Martin2C]

The new rates / system is only for cars registered after 1st April 2017, so it won't change over and above the normal annual increase.

[Sp123]

Yes agree with Martin!

It is only for new cars registered after this April 1st.

[Piers]

Yes agreed, this is why people are rushing to buy pre 1st April 2017 to avoid the increased tax rates.

[Mac B]

It's a bit late for factory orders, as the list price is as at the date of delivery, not order.

[Sp123]

Yes as piers and mac said people are rushing and it's the date of delivery that counts.

After 1st April there are supplemental charges for tax and also increased showroom tax and the price changes for cars which cost £40k+.

[AP]

not sure I agree with the extra VED charge for cars over £40K, seems rather unfair to me. Not everyone has load of cash , there will be many who save up over a long time to afford cars like this.
hey ho...

[Japseroony]

Here is the table;

[Gordon4499]

Originally Posted by Japseroony

Here is the table;

Excuse my ignorance on this subject...

Is this based on the list price of the car only? What if you buy a 520 and stick on enough options to take it over 40K (list), does this mean you are faced with £590 a year in tax?

[morellomax]

Gordon - yes, same logic as for BIK taxation. But it's £450, not £590 (though I see how you got there !)

[Gordon4499]

Originally Posted by morellomax

Gordon - yes, same logic as for BIK taxation. But it's £450, not £590 (though I see how you got there !)

Cheers morellomax, a significant hike whichever way we look at it

[silo24]

Pretty sure it's just designed to make sure we end up sending less money to Germany in the long run. PCP deals on high end cars likely to be really impacted by this.

I personally am likely to make sure my next car is under the £40k threshold as the £310 premium per year just grates.

[HighlandPete]

Originally Posted by silo24

Pretty sure it's just designed to make sure we end up sending less money to Germany in the long run. PCP deals on high end cars likely to be really impacted by this.

I personally am likely to make sure my next car is under the £40k threshold as the £310 premium per year just grates.

Do you really think many users buying/leasing models in the over £40k bracket will even blink at the extra costs? Particularly once we get used to the figures through the next year or so. Of course some are on a tight budget and will think twice. Perhaps one less option, if the costs are tight.

There are some users where the cost will not be so bad. Even my car with VED at £270 a year at present, (other than the first year) reduces the increase to £180 a year. What is that on a car over £60k? Yes, it looks bad in isolation, but in the total cost of running cars over £40k, is a small part of the costs. £180 on something like £6 - 8k per year (or more) total costs.

[shiner]

Yep the government have really got it in for exec car users. The company car tax rules are due to be yanked up as well in next couple of years. And of course the extra cost of the VED tax will be passed onto the company car drivers by lease companies that most fleet users use nowadays.

I am out of company cars now completely and run my own.

[robbiep]

Originally Posted by Gordon4499

Excuse my ignorance on this subject...

Is this based on the list price of the car only? What if you buy a 520 and stick on enough options to take it over 40K (list), does this mean you are faced with £590 a year in tax?

It is based on the FULL LIST price of the car as originally supplied. So extras fitted BEFORE delivery are included.
So if you buy a (base) £36k car, and add £5k of extras to the order so that the list price becomes £41k, then that is the price for calculating the tax.
Discounts do not matter.

[Gordon4499]

Originally Posted by robbiep

It is based on the FULL LIST price of the car as originally supplied. So extras fitted BEFORE delivery are included.
So if you buy a (base) £36k car, and add £5k of extras to the order so that the list price becomes £41k, then that is the price for calculating the tax.
Discounts do not matter.

Cheers for clarifying.. It probably won't put me off buying another £40k+ car but it does grate a bit.

Looking on the bright side, if sales take a hit in the £40k+ bracket then we may see some better discounts. Another grand of discount will soon offset the extra tax.

[MrPogle]

The plus side is that if you buy a car at 3 years old which is subject to the 310 surcharge, it's price is depressed slightly by the surcharge. Keep it a couple of years and the surcharge goes away which then boosts it's value a bit when you sell it.

[silo24]

Originally Posted by HighlandPete

Do you really think many users buying/leasing models in the over £40k bracket will even blink at the extra costs? Particularly once we get used to the figures through the next year or so. Of course some are on a tight budget and will think twice. Perhaps one less option, if the costs are tight.

There are some users where the cost will not be so bad. Even my car with VED at £270 a year at present, (other than the first year) reduces the increase to £180 a year. What is that on a car over £60k? Yes, it looks bad in isolation, but in the total cost of running cars over £40k, is a small part of the costs. £180 on something like £6 - 8k per year (or more) total costs.

The Company car opt-out market, which is a good proportion of PCP buyers, will find this hard to justify.

It's only £25 a month, but for many in this situation, that's the difference between a 530 and a 520.

For me, the idea of paying £310 a year for a premium vehicle isn't the problem. It's paying that money to the Gummint..

On the plus side, I hope we'll see more rational pricing introduced over the next couple of years. What's the point discounting a £50k car below £40k bit still having to pay the higher rate.

I suspect there's a big market for special editions with good spec and metallic paint for £39,999.....

[Johnny Grabble]

As i see it, if you're buying privately and you're lucky enough to be able to splash over £40k on a new car, compared to the depreciation you'll experience on your purchase, the extra VED is insignificant.

[HighlandPete]

Originally Posted by Johnny Grabble

As i see it, if you're buying privately and you're lucky enough to be able to splash over £40k on a new car, compared to the depreciation you'll experience on your purchase, the extra VED is insignificant.

I mentioned the VED increase and the possible impact on new car sales to my son. He takes a similar view to yourself. It's only on a £40k plus car, not exactly a problem for those in that market. Plenty of cheaper cars out there.

[MrPogle]

Originally Posted by HighlandPete

I mentioned the VED increase and the possible impact on new car sales to my son. He takes a similar view to yourself. It's only on a £40k plus car, not exactly a problem for those in that market. Plenty of cheaper cars out there.

Me too. It's hard to imagine going into a showroom with 50 grand burning a hole in your pocket, sitting in cars whilst trying not to feel like a 14 year-old at The Motor Show, giggling like a idiot over the options list, stroking the leather samples like a fetishist and then calling the whole thing off at the thought of paying £310 in 12 months time.

[morellomax]

I tried and failed to spec even a 520d at less than £40k list. Couldn't live without metallic paint, 18s, some kind of seat upgrade, stereo upgrade, either VDC or MSport suspension. If you spec MSport and metallic, you're pretty much at £40k.....