Thursday 2nd April 2015
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George Osbourne, Chancellor of the Exchequer announced in the budget last year that from April 2014 classic car VED exemption would start rolling from 40 years.  The starting point being cars built before January 1974.  Last month’s budget extended this deadline to 1st January 1976.  So any car built (not registered) before 1975 is now exempt from road tax.  Next year cars built before January 1976 will be tax exempt and so on. This is great news for classic petrol heads and will affect over 10,000 classic car owners each year who currently pay road tax. What is really heartening is that the government has stated that they regard the classic car industry as an important part of the nation’s historical heritage.

To obtain the exemption you have to prove that your car was built before 1st January 1976. If your car was registered between 1-7 January 1975 the DVLA will let you register it as a historic vehicle since it is highly likely that the car was built in the previous year. Don’t wait till your current tax period expires apply now.

How to apply for the Historic Vehicle tax class

You will need to go to your local post office with these documents:

  •  The V5C Registration Certificate – make sure you list the tax class as Historic Vehicle and sign and date the form
  • The V10 Application for a Tax Disc (ignore the section on insurance certificates)
  • Valid MOT certificate

The post office will keep the V5C and forward it to the DVLA for them to change the tax class to Historic Vehicle.  They will also issue you with a new V5C form.  All subsequent V11 Renewal Reminders should have the tax class listed as Historic Vehicle. After your vehicle has been taxed as a Historic Vehicle you will be able to get a refund for each full calendar month left on the tax period. The good news is that you won’t need to apply for the refund as the DVLA will automatically issue a refund when they receive the notification that your vehicle’s tax class has changed to an exempt duty class.

A few things to watch out for

If the vehicle date is incorrectly stated on the V5C form then you need to supply contemporary documentary evidence to verify the actual date of the vehicle.  This is quite involved and you’ll need Glass’s Check Books for this.  You should contact the DVLA or Federation of British Historic Vehicle Clubs for more advice.  Also, the DVLA state that all vehicles such as buses or goods vehicles which are used commercially are not entitled to apply for the Historic Vehicle tax class.

For more information visit the DVLA site and read leaflet INF34 on taxing historic vehicles.

If you have any classic beauties in your garage or driveway please send us the photos or videos so we can share them on our Facebook page.

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