New car tax rates from April 2009

Friday, 20 February 2009 09:51

Car tax (or Vehicle Excise Duty) is changing from April 2009. The current banding structure is being extended to a total of 13 bands (A to M). The change is retrospective, so cars already purchased will have to be re-taxed at the new rate. Each band is based on CO2 emissions, as shown below:

Tax Band	CO2 Emissions	Annual Tax
A	Up to 100	£0
B	101 to 110	£20
C	111 to 120	£30
D	121 to 130	£90
E	131 to 140	£110
F	141 to 150	£120
G	151 to 160	£150
H	161 to 170	£175
I	171 to 180	£205
J	181 to 200	£260
K	201 to 225	£300
L	226 to 255	£415
M	Over 255	£440

Of course, there's more to come next year. These changes will be followed up by further increases in 2010 and the introduction of a first year tax rate. This first year rate, commonly called the 'showroom tax' penalises cars with higher emissions.

Arnold Clark Vehicle Management is a trading name of Arnold Clark Finance Limited, a company registered in Scotland with company number 39597. Our VAT Registration number is GB 334 3318 79. Our registered office is 134 Nithsdale Drive, Glasgow G41 2PP. Our BVRLA Membership Number is 762. Arnold Clark Finance Limited is authorised and regulated by the Financial Services Authority.