TAMIL lifestyle
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Car Tax Bands
What You Need to Know
O
ne of the key factor car buyers are
concerned with is car tax or road tax.
Buyers have to pay the tax every year, but
it is easy to work out how much a new car is likely to
cost you in tax over the years.
The car tax bands are based on the carbon dioxide
(CO2) emissions that your car puts out over one
kilometre called ‘CO2 emission rate’.
Road Tax ( officially called Vehicle Excise Duty
(VED)) , has two elements which are main tax rate,
which is based on the emissions, and a first year’s
rate, which can be more or less , expensive than
the normal rate.
If they emit less than 100g/km of CO2, then the
car is completely tax free and also all cars that
produce up to 130g/km are free to tax for the first
year.
If you buy an car which is manufactured before
2001 , then the tax is based on engine size instead.
Cars under 1549cc (1.55 litres) cost £140 per year
to tax, while everything above 1549cc costs £225
per year.
CO2 Emissions First year rate
(g/km)
Annual rate
Up to 100
£0
£0
101-110 £0
£20
111-120 £0
£30
121-130 £0
£105
131-140 £125
£125
141-150 £140
£140
151-165 £175
£175
166-175 £285
£200
176-185 £335
£220
186-200 £475
£260
201-225 £620
£280
226-255 £840
£475
Over 255
£490
£1,065
Following table applies to cars manufactured after
2001.
Some Cars that have zero tax
Kia Picanto 1
Volkswagen Golf hatchback Peugeot 207 Oxygo
Citroën C3 1.4 HDI
Ford Fiesta Econetic
Price: £7,795
CO2 emissions: 95g/km
Combined fuel economy:
Price: Price: £16,775 - £25,370
CO2 emissions: 85g/km
Combined fuel economy: 88
67.3 mpg
mpg
Price: £14,395 - £23,995
CO2 emissions: less
than100 g/km
Combined fuel economy:
62 mpg
Price: £13,895
CO2 emissions: 95g/km
Combined fuel economy:
76.3 mpg
Price: £12,645
CO2 emissions: 98g/km
Combined fuel economy:
74.3mpg
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