Tax Exempt

[keithdixon]

Silly question but when does a vehicle become tax exempt? is it 25 yrs?

[ian_s]

nope
anything registered before 1st Jan 1973 is tax exempt.
it was 25 years when it was first introduced, but when Labour came to power they changed it to a set cutoff date.

[keithdixon]

Thanks for that, so until they change the rules, nothing after that cut off date will be tax exempt?

[Rich_P]

nope
anything registered before 1st Jan 1973 is tax exempt.
it was 25 years when it was first introduced, but when Labour came to power they changed it to a set cutoff date.

Sorry to correct you, but it isn't when the vehicle was registered, but when the vehicle was first used which counts.

[Wolfie]

Sorry to correct you, but it isn't when the vehicle was registered, but when the vehicle was first used which counts.

Actually, it's done on the date that the vehicle was built. See http://www.dvla.gov.uk/vehicles/exemptions.htm

Regards

Andy

[keithdixon]

Still, nothing after the cut off date of registered or used will be tax exempt until the rules change?

[muddyweb]

No, it started out as a rolling 25 year exemption, and then it was frozen when it got to '73

[KD]

Tis the build date thats important........

Was supposed to be rolling but yet again, we got shafted by the government on this!!!

[keithdixon]

They publicise the fact that they have introduced tax exempt for older cars.

and then as you say shaft us by taking it away.

[landyman Ash]

In the last election, Tories stated if they got in they would start the 25 year exemption again.

I'll beleive it when I see it  :?

[ian_s]

In the last election, Tories stated if they got in they would start the 25 year exemption again.

I'll beleive it when I see it  :?

that was the only reason to vote tory. i didnt, even tho it would now make my wee beastie tax exempt and save me £180 a year

[keithdixon]

Well always voted tories, now i know why!

Both the rangie and my daily runner are £180, a hefty sum per year especially when the young ones on the roads who drive 1.3  1.6 hatches like idiots.

Maybe they should tax dut to age of the driver?  

Sounds daft but may make the young people of today learn to walk & save up for things they want in life instead of maxing out on a loan to get their first car (leaving nothing left to buy a house)

[Priglet]

Maybe they should tax dut to age of the driver?  

Sounds daft but may make the young people of today learn to walk & save up for things they want in life instead of maxing out on a loan to get their first car (leaving nothing left to buy a house)

I doubt it. Insurance costs already cripple the inexperienced, and these days it seems that if you can't afford it you just don't bother buying it in the first place.

[keithdixon]

The comment was made following a discussion i had with a financial friend who says that the main problem young kids are having at the moment is that they cannot afford to buy a house during late teens. (the wages at that age tend not to allow them - and house prices also made it impossible)

so they stay at home longer than we did.

entering your twenties and having only a small amount to pay to 'mum & dad' leaves you enough to get a decent car (say 10k) which they do over 3-5 years.

Then the problem starts, they have no chance to save for a deposit for a house as their wages are going on car (say 3K), fuel ??, insurance (say 1.5k), tax & repairs. (and beer (Far too much))

Now they end up at 25 with an old car and no deposit, what next??

A new car spread over 5 years.

Just my rant as i have 3 children between 14 and 15 and even though i love them all i dont want them at home when they are 30!!!

[ian_s]

i bought a house earlier this year, at age 23
i had no deposit, but my mortgage is still only £430 a month
which is less than i was paying in rent on a similar sized house

[TimM]

i bought a house earlier this year, at age 23

I think my house was 6 when I bought it  :lol:

Seriously though, you won't regret buying - it sounds like you are saving money already, and you have the added benefit of it being yours (with no rules to follow!)

Just think of the capital growth if nothing else.  

[keithdixon]

Fully agree,

I bought my 1st one at the age of 18 (me not the house) and hell the mortgage payments were bad at the time, (the interest rate went up to something like 14-15% but as you said worth it.

Now have one in Ely, one in sutton bridge

Just must be hard for the young ones trying to get that step on the ladder.

[ian_s]

it is hard, and i got really lucky with a house that was cosmetically a wreck, but structurally sound

i bought it for £77500, and the house 3 doors down has just sold for £109500 :)
altho i have spent about 5 grand on it

[TimM]

i bought it for £77500, and the house 3 doors down has just sold for £109500 :)
altho i have spent about 5 grand on it

Roughly: £110k less £78k less £5k spent = £27k, which is more than most people earn (and pay tax on!).

Welcome to the 'exciting' world of property ownership*  



*Please nobody put him off with horror stories (yet  :twisted: )

[ian_s]

i know all the horror stories, dont worry
and yes, that is a sizeable profit :)
in 6 months :D

[landyman Ash]

i know all the horror stories, dont worry
and yes, that is a sizeable profit :)
in 6 months :D

It is great, just sold my flat in london, owned with my mate from Uni and we made a fair sum each.

Property, you gotta love it (to said with HUGE cigar in mouth please!)

 :D  :D