Car tax
How to tax a car
Checked on 10 September 2026.GOV.UK, Tax your vehicle (as of 10 September 2026)
What do I need to tax a car?
Use a recent V11 reminder, the V5C in your name, or the green new keeper slip if you have just bought the vehicle. A current keeper without them can apply for a replacement and tax at the same time. A new keeper without the green slip must apply by post.
The registered keeper has to tax a UK vehicle, or make a SORN, for as long as they keep it. That duty applies from the day the vehicle is first registered and it applies again every time the keeper changes, because tax does not travel with the car. Exemption removes the payment, not the step: a historic vehicle, a disabled tax class vehicle and the other GOV.UK exempt categories still complete the process so the register shows a current licence.
What documents do I need to tax a car?
Three documents open the online service. A V11 reminder, including a last chance letter, email or text, carries a 16 digit reference. A V5C in your name carries an 11 digit document reference. A green new keeper slip, the V5C/2 the seller should give you on the day, carries a 12 digit reference. Use the one that matches your situation. Mixing them up is a common reason the website rejects an application.
A current keeper who has none of those can apply for a replacement V5C and tax at the same time. The usual fee is £25. A new keeper without the green slip has no immediate online route and must apply by post on form V62. Do not drive the car until a licence is issued in your name.
| What you have | Reference | What to do |
|---|---|---|
| V11 reminder or last chance letter | Reference printed on the reminder | Use the GOV.UK vehicle tax service. |
| V5C in your name | 11 digit document reference | Tax online as the current keeper. |
| Green new keeper slip | 12 digit document reference | Tax online immediately after buying. |
| None, current keeper | V62 or replacement service | Apply for the V5C and tax at the same time. |
| None, new keeper | No immediate online route | Apply for a V5C by post using form V62. |
How do I tax a car online, by phone or at the Post Office?
The GOV.UK vehicle tax service is the usual route. It accepts the reminder, the 11 digit V5C reference or the 12 digit green slip reference, and it is the only place you can set up Direct Debit. Phone the 24 hour DVLA vehicle service on 0300 123 4321 if you would rather not use the website. Phone accepts a V5C or a new keeper slip, but Direct Debit is not available on that line.
A participating Post Office accepts a V5C, a new keeper slip, or a V62 from the current keeper. It may ask for valid MOT evidence. Northern Ireland Post Office applications also need the published insurance certificate and MOT, taxi test or test exemption certificate. Changing a vehicle into the disabled tax class is done only at a Post Office, not online and not by phone.
- Confirm you are the current keeper with the V5C in your name, or the new keeper with the green slip.
- Have the matching reference ready: 11 digits on the V5C, 12 digits on the green slip, or the reminder reference.
- Check the MOT record if one is due. A fresh pass can take up to two days to reach the tax service.
- Apply online at the GOV.UK vehicle tax service, by phone on 0300 123 4321, or at a participating Post Office.
- Set up Direct Debit only on the website if you want monthly or six month payments. Phone cannot do that.
| Route | Documents it accepts | Direct Debit |
|---|---|---|
| GOV.UK vehicle tax service | V11 reminder, V5C or green new keeper slip | Yes, including annual with no surcharge |
| Phone 0300 123 4321 | V5C or green new keeper slip | Not available |
| Participating Post Office in Great Britain | V5C, green slip, or V62 from the current keeper | Not the Direct Debit setup route |
| Post Office in Northern Ireland | The Great Britain documents plus insurance certificate and MOT or TEC | Not the Direct Debit setup route |
Checked against GOV.UK vehicle tax guidance on 10 September 2026. Direct Debit is set up online.
What happens to the tax when I buy a car?
Keep the green slip and tax the vehicle before driving it. The seller's licence ends with the keeper change. Remaining months are refunded to the seller, not inherited by you. If the vehicle will stay off the public road, make a SORN in your own name instead. A SORN made by the seller dies with the sale, so you cannot rely on it.
Tell DVLA you have bought it in the usual way. If the seller never sent the green slip, you are on the postal V62 route and you cannot tax online in the meantime. That is why DVLA advises against buying a vehicle without its V5C. The five minute drive home from the seller's house is the journey people make untaxed.
How much will I pay to tax the car?
The rate follows the first registration date, not the day you buy it. Cars first registered on or after 1 April 2017 pay a CO2 first year rate, then the flat standard rate of £200 from the second licence, plus the expensive car supplement if the original list price was over £40,000. Cars first registered from 1 March 2001 to 31 March 2017 stay in the lettered CO2 bands for as long as they exist. Cars first registered before 1 March 2001 pay on engine size in the private and light goods class.
A car never moves between those systems. Rates inside a system can change at the Budget, but a 2015 diesel does not join the flat standard rate, and a 1999 hatchback is never placed in a CO2 band. The figure you pay is the one in force for the licence you take out, under the 2026/27 tables.
Example
A 2015 diesel at 125 g/km
- First registered
- 2015
- Fuel
- Diesel
- CO2
- 125 g/km
- Tax year
- 2026/27
- 2015 sits between 1 March 2001 and 31 March 2017, so the lettered CO2 bands apply every year.
- 125 g/km falls in band D, 121 to 130 g/km.
- Band D is £170 for twelve months in 2026/27.
Tax it at £170 for twelve months, using the 11 digit V5C reference if you are the current keeper.
Example
A 2018 car with a £48,000 list price
- First registered
- 2018
- Original list price
- £48,000
- Standard rate
- £200
- Supplement threshold
- £40,000
- 2018 is on or after 1 April 2017, so the first year rate is behind it and the flat standard rate applies.
- The list price is over £40,000, so the expensive car supplement of £440 is added for 5 years from the second licence.
- Add the two published figures: £200 plus £440.
From the second licence the annual bill is £640 until the five year supplement period ends, then £200. The supplement follows the car, not the first owner.
Example
A 1999 car at 1,549 cc
- First registered
- 1999
- Engine size
- 1,549 cc
- Tax year
- 2026/27
- 1999 is before 1 March 2001, so engine size in the private and light goods class applies. There is no CO2 band and no expensive car supplement.
- 1,549 cc is the top of the lower band, not over 1549cc.
- The lower engine band is £230 for twelve months in 2026/27.
Tax it at £230 for twelve months.
Can I pay car tax by Direct Debit?
Yes, on the GOV.UK vehicle tax service. A single annual Direct Debit costs the same as paying twelve months in one go. Monthly instalments and a six month Direct Debit add a 5 per cent surcharge. A six month licence bought as a single payment already costs 10 per cent more than half the annual rate, so two of those across a year cost more than one annual licence. Phone cannot set Direct Debit up.
If a Direct Debit payment fails, the vehicle can become untaxed. Check the GOV.UK Direct Debit page for what happens on a failed collection rather than assuming the licence continues. When you later cancel the tax, the surcharge is not refunded.
How do I get a vehicle tax refund?
DVLA refunds any full months left on the licence when you sell, scrap, export or make a SORN. There is no form for the refund itself, except when the vehicle has been stolen, which GOV.UK says needs a separate application. A cheque is sent to the name and address on the V5C. Change that address first if it is wrong, because the cheque follows the record, not the address you now live at.
You will not get back any card fee, the 5 per cent Direct Debit surcharge, or the 10 per cent extra built into a six month licence. Contact DVLA if the cheque has not arrived after 8 weeks. If it arrives in the wrong name, return it to Refund Section, DVLA, Swansea, SA99 1AL, and tell them the right name.
What if the car is SORN or exempt?
A SORN removes the requirement to tax and insure the vehicle while it is kept off the public road. Taking it off SORN means taxing it. The declaration ends automatically when a licence is issued. Until then the only legal movement is to or from a pre booked MOT or other testing appointment. Parking a SORN car on a street is an offence whether it moves or not.
Exempt vehicles still complete the tax process. Historic class, disabled class and the other GOV.UK categories pay nothing, but the register has to show a current licence. An exempt car with no licence is untaxed. Changing into the disabled tax class is done only at a Post Office.
What goes wrong when you tax a car?
Two different penalties are easy to confuse. If a vehicle is untaxed and has no SORN, DVLA's register scan issues a late licensing penalty automatically. The DVLA enforcement policy sets that at £80, reduced to £40 if paid within 33 days. The car does not have to have been seen on a road. Unpaid, the debt can go to a collection agency.
If the vehicle is then used or kept on a public road without tax, DVLA may offer an out of court settlement of £30 plus one and a half times the outstanding tax. Fail to pay that and the case can go to a magistrates' court, where the penalty is £1,000 or five times the tax chargeable, whichever is greater. Use a vehicle that already has a SORN on a public road, other than for the booked test, and the court maximum rises to £2,500 or five times the tax.
- Driving home on the seller's remaining tax. Tax does not transfer. Tax it on the green slip before you turn the key.
- Trying to tax the same afternoon as an MOT. Records can take up to two days to reach the tax service.
- Using the 11 digit V5C reference as a new keeper. You need the 12 digit green slip, or you are on the postal V62 route.
- Setting up Direct Debit by phone. The 0300 123 4321 line cannot do it. Use the website.
- Leaving an exempt vehicle without a licence. Nil rate is not the same as no tax record.
- Making a SORN on a car you have already sold. Report the sale instead. The buyer's gap is charged to them.
Common myths about taxing a car
- The tax stays with the car until the disc expires. It does not. The seller's licence is cancelled when the sale is recorded.
- A reminder is the only way to tax. A current keeper can use the V5C. A buyer can use the green slip.
- Exempt means you can ignore the process. You still have to tax it, even when the amount is nil.
- A SORN made by the seller covers you. It ends on the sale. Make your own, or tax it.
- Monthly Direct Debit costs the same as paying annually. It does not. Monthly and six month Direct Debit add 5 per cent, and that surcharge is not refunded.
- An MOT pass licenses the car. It does not. Complete the tax step once the record has updated.
Common questions
- Can I tax a car without a V11 reminder?
- Yes. A current keeper uses the 11 digit document reference on the V5C. A buyer uses the 12 digit reference on the green new keeper slip. Either reference works on the GOV.UK vehicle tax service, and a current keeper can also tax by phone on 0300 123 4321. Direct Debit can only be set up online. If you have none of those documents, a current keeper applies for a replacement V5C and taxes at the same time; a new keeper without the green slip has to apply by post on form V62 and cannot use the previous keeper's tax in the meantime.
- Can a new keeper tax without the green slip?
- No. GOV.UK says a new keeper without the slip must apply for a V5C by post. The vehicle cannot use the previous keeper's tax, because tax ends when the keeper changes. Do not drive it until a licence is issued in your name, or make a SORN if it will stay off the public road. The usual V62 fee is £25. A participating Post Office can take a V62 from a current keeper, but a buyer without the green slip is on the postal route. Ask the seller for the slip before money changes hands, because replacing it later is slower than using it on the day.
- Does a tax exempt vehicle still need taxing?
- Yes. Exemption removes the payment, not the licensing step. Historic vehicles, disabled tax class vehicles and the other GOV.UK exempt categories still have to complete the tax process so the register shows a current licence. An exempt car with no licence at all is treated as untaxed, and DVLA can issue a late licensing penalty from the register. Apply in the same way as a paid licence. Changing into the disabled tax class is done only at a Post Office, not through the website or the phone line.
- Does vehicle tax transfer when I buy a car?
- No. Tax does not transfer on sale. DVLA cancels the seller's licence when the sale is recorded and refunds any full months left, by cheque to the name and address on the V5C. The buyer must tax the vehicle before driving it, using the 12 digit reference on the green slip. Remaining days on the seller's disc are not yours to use, even if the expiry date is months away. If the car will stay off the road, make a SORN in your own name instead. A gap between the sale and your tax or SORN is charged to you as the new keeper.
- Can I set up Direct Debit by phone?
- No. The 24 hour DVLA vehicle service on 0300 123 4321 accepts a V5C or a new keeper slip, but Direct Debit is not available by phone. Set it up on the GOV.UK vehicle tax service. A single annual Direct Debit carries no surcharge. Monthly instalments and a six month Direct Debit add 5 per cent. A six month licence bought as a single payment already costs 10 per cent more than half the annual rate. You do not get the surcharge back if you later cancel the tax and take a refund of full months.
- How long after an MOT can I tax the car?
- MOT records can take up to two days to reach the tax service. A pass in the afternoon does not always let you tax the car that evening. Wait until the record is on the system, then complete the tax step. Passing the test does not itself license the vehicle. If the car is on SORN until then, the only legal movement is to or from a pre booked test. Recover it, or wait, if you need to move it for any other reason before the licence is issued.
- How do I get a refund if I sell or SORN the car?
- DVLA refunds any full months left on the licence automatically when you sell, scrap, export or make a SORN. A cheque goes to the name and address on the V5C, so change the address first if it is wrong. You do not get the 5 per cent Direct Debit surcharge back, or the 10 per cent extra on a six month licence, or any card fee. Contact DVLA if the cheque has not arrived after 8 weeks. Stolen vehicles need a separate refund application rather than the automatic path.
- What if I forget to tax the car?
- DVLA scans the register and issues a late licensing penalty automatically when there is no tax and no SORN. That penalty is £80, reduced to £40 if you pay within 33 days of the letter. The car does not have to have been seen on a road. If it is then used or kept on a public road, a separate out of court settlement can follow: £30 plus one and a half times the outstanding tax, or prosecution with a court maximum of £1,000 or five times the tax, whichever is greater. Tax it or declare it off the road as soon as you notice the gap.
Sources
- GOV.UK, Tax your vehicle (as of 7 September 2026)
- GOV.UK, Tax your vehicle without a vehicle tax reminder (as of 7 September 2026)
- GOV.UK, Tell DVLA you have sold, transferred or bought a vehicle (as of 7 September 2026)
- GOV.UK, Get a vehicle log book (V5C) (as of 7 September 2026)
- DVLA, V62: application for a vehicle registration certificate (as of 7 September 2026)
- GOV.UK, Cancel your vehicle tax and get a refund (as of 10 September 2026)
- GOV.UK, Register your vehicle as off the road (SORN) (as of 10 September 2026)
- GOV.UK, When you need to make a SORN (as of 10 September 2026)
- GOV.UK, Pay your vehicle tax by Direct Debit (as of 10 September 2026)
- GOV.UK, Vehicles exempt from vehicle tax (as of 10 September 2026)
- DVLA, DVLA enforcement of vehicle tax, registration and insurance offences (as of 15 July 2026)
- DVLA, V149: rates of vehicle tax from 1 April 2026 (as of 1 April 2026)
- GOV.UK, Budget 2025 overview of tax legislation and rates, Annex A: rates and allowances (as of 1 April 2026)
- GOV.UK, Vehicle tax rate tables (as of 1 April 2026)
- GOV.UK, Increase in the Vehicle Excise Duty Expensive Car Supplement threshold for zero emission cars (as of 1 April 2026)
- GOV.UK, Vehicle tax for electric, zero and low emission vehicles (as of 1 April 2026)
- legislation.gov.uk, Finance Act 2025 section 66: rates of vehicle excise duty, omitting the reduced rate for alternative fuel vehicles (as of 1 April 2025)
Related pages
- New keeper slipFind and use the buyer's tax reference.
- Lost V5CReplace the current keeper's document.
- Buying without a V5CWhy the missing document blocks immediate tax.
- Car tax ratesWork out what the licence will cost.
- SORNDeclare it off the road instead of taxing it.
- Car tax calculatorCheck the figure before you apply.