When the whispers regarding a change in car taxing policy started, the wishful thinking amongst you thought that this may lead to the eradication of car tax completely. However, this is unfortunately not the case!

The changes which are coming into force very shortly are quite fundamental though and from the 1st October 2014 (after 93 years of being displayed on vehicle windscreens throughout the country), the traditional tax disc will no longer need to be displayed on our windscreens.

The First You Have Head of This?

Don’t worry if you did not know this, price comparison website money.co.uk conducted a recent poll and found that a whopping 40% of all UK drivers were completely unaware of the impending changes to car tax!

This change has inevitably lead to a number of pressing questions.

No. 1 – How will anyone know that my vehicle is taxed?

The need for traditional paper tax discs is about to become obsolete because the DVLA will have a digital record of all vehicle tax payments that it receives.

Number-plate recognition cameras will be able to track each vehicle on the road and catch out tax dodgers.

No. 2 How do I pay?

This is another change which may ultimately benefit drivers. Whereas currently the only 2 available options involve paying up front for either 6 or 12 months worth of tax, from 1st November you will be able to pay by monthly direct debit over 12 months.

Please Note – Drivers paying for their vehicle tax on either a 6 monthly or monthly basis will incur a 5 per cent additional charge. The good news is this is half of the 10 per cent surcharge currently applied to the six-month tax discs.

No. 3 – What happens if I sell my car?

You can get a refund from the DVLA for any full calendar months left on the car tax.

Please Note – Failure to notify the DVLA of any sale of your car will mean that you could potentially face a fine of up to £1,000. You will also be responsible for taxing the vehicle you no longer own and you’ll have to pay any fines the buyer may clock up.

Has This Changed?

Previously tax was transferred from owner to owner but this is no longer the case. Transfers will soon cease to exist and from 1st October, car buyers will need to tax their new vehicle before they drive it home.

For more on this story please visit http://www.independent.co.uk/money/tax/five-questions-changes-to-car-tax-discs-9700924.html

For more information on the tax disc changes, please visit gov.uk/government/news/vehicle-tax-changes.