Road tax doesn't transfer with the car. How to tax a car you've just bought, how sellers get their refund, and how much tax a used car costs.
Since paper tax discs were scrapped in 2014, road tax (vehicle excise duty) no longer stays with a car when it's sold. Plenty of people still get caught out, so here's how it works.
If you're buying
- You must tax the car before you drive it, even if the seller had taxed it. Driving an untaxed car can lead to a fine, and the car can be clamped.
- Tax it online or by phone using the reference number on the new keeper slip (V5C/2), the green section of the logbook the seller gives you. You can also tax it at a Post Office that deals with vehicle tax.
- You can pay for 12 months, 6 months, or monthly by Direct Debit. Paying in one go for 12 months is the cheapest.
- The car needs a valid MOT (if it needs one) and insurance before you can tax it.
Tax and insurance can usually both be sorted in a few minutes online, so you can do it before you drive the car home.
If you're selling
Tell the DVLA you've sold the car. You'll then get a refund for any full calendar months of tax left, and any Direct Debit is cancelled automatically. You don't need to apply separately. See what to do when selling your car.
How much does road tax cost?
It depends on when the car was first registered:
| First registered |
Tax based on |
| Before 1 March 2001 |
Engine size. Cars up to 1549cc pay a lower rate than larger engines. |
| 1 March 2001 to 31 March 2017 |
CO2 emissions, in bands from A (lowest) to M (highest). |
| From 1 April 2017 |
A flat standard rate after the first year, plus a supplement from the second to the sixth year if the car cost over £40,000 new (the threshold can differ for electric cars). |
Electric cars have had to pay road tax since April 2025. Cars built more than 40 years ago can usually be taxed for free; see classic cars at 40.
Rates change each April. Our reports show the current tax rate for the car, including the expensive car supplement where it applies, along with an estimate of the yearly fuel cost. Check a car.
Check the tax status before you buy
A car that's untaxed or declared off the road (SORN) can't legally be driven on public roads until it's taxed. That matters for the test drive and for getting it home. A history report shows the current tax and MOT status from the DVLA.