Is the Abolishment of the Paper Tax Disc a Good Thing?

After speaking to people recently, I am surprised that not that many know about the changes that will be happening to the vehicle tax disc system in October. Yes; from 1^st October 2014, the tax disc will be no more. But, I ask, is this a good thing or could it spell trouble for the British motorist and the SME?

Well firstly, on the face of it, not having to fill in a form and send it off to the DVLA with a fee, wait for the tax disc to be sent through and then tear round the perforated edge to put the disc in your holder (that is usually still full of previous tax discs) sounds like a good idea.

After all, nobody likes paperwork – and there is the obvious risk of not remembering to do the paperwork, send off the fee and actually remember to put it in the car when you do get it back.

But we are talking about a working procedure that goes right back to 1921 – will the changes a) go down well and b) run seamlessly?

Well, that remains to be seen as will all paper-to-computer changes that don’t always go quite to plan, but for one, I certainly hope that this one doesn’t cause any backlogs that result in administrational problems for businesses or individuals.

For now, let’s take a look at the tax disc changes and how they will affect drivers across the UK:

Summary of tax disc changes from October 2014

·         Tax discs will no longer be displayed in cars – they will be abolished from 1^st October 2014

·         The remaining tax will not be transferrable when a vehicle is sold (i.e. you won’t be able to sell the car or van with the remaining tax still on)

·         You will need to physically remove your tax disc on 1^st October 2014

·         You will buy your Road Fund Licence via the DVLA website – click here for more information

·         Check status on the DVLA website by clicking here

Getting prepared for the new tax disc changes

Obviously, SMEs will need to be aware of the changes in Road Fund Licence and make sure that their administrational systems are in place prior to October.

Company car drivers will need to be made aware that tax discs must be taken out of their vehicles by this date and consideration should be given to what happens when a vehicle is written off or stolen.

In addition and as mentioned above, when vehicles are sold, previous owners will be refunded by the DVLA upon receipt of notification of change of keeper.

Summary

I wanted to write a feature about these changes because, like I said, not everyone is aware of what is to come. Perhaps it will come out organically with time, but I always say that forewarned is forearmed.

For any tax disc queries, please contact the DVLA directly or alternatively, if you are leasing a vehicle then do not hesitate to speak to your leasing provider who will be able to answer any queries that you may have.