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Has any tax been paid on a brand new show room car?

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Bechbung
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Has any tax been paid on a brand new show room car?

#357775

Postby Bechbung » November 18th, 2020, 2:51 pm

When you buy a brand new car you pay an annual car tax. I know that. But I think there might be another tax that's paid--perhaps by the manufacturer before it arrives in the showroom? Or is it the case that if built in the UK or imported from the EU (at the moment) no other tax is paid at all? When I google 'tax on new cars' all it comes up with is the annual tax and nothing else. I'm not buying a new car, just curious.

DrFfybes
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Re: Has any tax been paid on a brand new show room car?

#357777

Postby DrFfybes » November 18th, 2020, 3:00 pm

VAT is payable on a new car.

didds
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Re: Has any tax been paid on a brand new show room car?

#357839

Postby didds » November 18th, 2020, 4:52 pm

purely a guess ... as "car tax" is Vehicle Excise DUTY, is the car showroom in effect a bonded warehouse ? And any test drivesd are done in a similar make and model this is of course taxed and insured etc etc etc

??

didds

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Re: Has any tax been paid on a brand new show room car?

#357842

Postby swill453 » November 18th, 2020, 5:01 pm

For a new car the first year's VED varies depending on the car's emissions. It can be £0 to £2175.

The second and subsequent years are £150 for petrol and diesel cars, and £0 for electric cars.

Scott.

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Re: Has any tax been paid on a brand new show room car?

#357843

Postby swill453 » November 18th, 2020, 5:03 pm

didds wrote:purely a guess ... as "car tax" is Vehicle Excise DUTY, is the car showroom in effect a bonded warehouse ? And any test drivesd are done in a similar make and model this is of course taxed and insured etc etc etc

Test drives are usually done on trade plates. I don't think it's related to the premises in any way.

Scott.

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Re: Has any tax been paid on a brand new show room car?

#357894

Postby didds » November 18th, 2020, 7:34 pm

swill453 wrote:
didds wrote:purely a guess ... as "car tax" is Vehicle Excise DUTY, is the car showroom in effect a bonded warehouse ? And any test drivesd are done in a similar make and model this is of course taxed and insured etc etc etc

Test drives are usually done on trade plates. I don't think it's related to the premises in any way.

Scott.



ah - trade plates makes sense . DOH!

and of course (second DOH!) VED is only payable on a car that will see the harsh reality of public roads. which showrooms arent.

as you were!

didds


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