New road tax rules - cooling off period?

[Audi J]

If you select the option to pay for the tax across 12 months by direct debit, I'm wondering what would happen if you cancelled the direct debit within the first 7 days and declare the car sorn.

Has the government effectively given us a loophole to drive a car home legally that we have just purchased, then cancel without making any payment, or would you still owe the first payment which is double the regular installments even if you cancel the direct debit?



Just curious.

[Error404]

From memory you have to pay the first "installment" at the time of application

[Audi J]

That's the funny thing, with the new online system it showed my new car as taxed straight away yet no payment was taken immediately and the first instalment is not due to come out of the bank until at least 10 days later. A possible loophole?

[jubjub]

Not quite free, but cheaper than it previously would have been,buying tax for 6 months.

Clever bods these people, working out how to generate millions of pounds of income of motorists...

[poor-boy]

The minimum term for payment is 1 months tax.

If you taxed the vehicle and within 30 seconds cancel it and sorn the car you will still be liable.

What they do if you don't let them the take the payment is put a block on taxing your car. You would need to pay the one month plus interest and the new tax before being allowed to drive on public roads.

[Audi J]

Thanks, to be honest I had a feeling direct.gov had it covered somehow.