Price of Car Tax

[Ducky1 10]

Got reminder to tax our car £140, tried to tax online. £145, why would this be different?

[rudds1 102]

Rate has gone up from reminder being printed / sent out 

[geared 303]

Some payment methods are abit more expensive are they not?

[jelly belly 10]

Credit card payment?

 

[horribleblob 212]

8 hours ago, rudds1 said:

Rate has gone up from reminder being printed / sent out 

Exactly this. My V11 reminder usually says [in red ink]:

 

"The rates of duty shown were correct at the time of printing. If they changed in the Budget, you may need to pay a different rate."

 

Or variations of the same.

[alchresearch 214]

23 hours ago, Ducky1 said:

Got reminder to tax our car £140, tried to tax online. £145, why would this be different?

Aren't there different prices depending on whether you do a one off payment / one off direct debit / monthly direct debit?

[iansheff 86]

17 hours ago, geared said:

Some payment methods are abit more expensive are they not?

Yes but usually online is cheaper.

 

15 hours ago, jelly belly said:

Credit card payment?

 

I am sure they are not allowed to charge more now for credit card payments, they have to be the same as Debit Cards.

[lil-minx92 10]

I'm not sure why it is more expensive to pay for 6 months insurance twice a year, than 12 months in one lot.  Might be a small extra admin expense but would cost me £20 more to pay 6 monthly. 

This strikes me almost as an extra tax on the poor

[max 13]

7 minutes ago, lil-minx92 said:

I'm not sure why it is more expensive to pay for 6 months insurance twice a year, than 12 months in one lot.  Might be a small extra admin expense but would cost me £20 more to pay 6 monthly. 

This strikes me almost as an extra tax on the poor

If you look at it another way it's cheaper to pay the whole lump in one go rather than in two or twelve payments. It suits the businesses to have the money up front so they offer the incentive for you to pay it all together.

 

As to it being a tax on those less well off in society then, yes, it is indirectly. 

 

There are many examples of Poverty Premiums.

[Yeah but 0]

17 hours ago, horribleblob said:

Exactly this. My V11 reminder usually says [in red ink]:

 

"The rates of duty shown were correct at the time of printing. If they changed in the Budget, you may need to pay a different rate."

 

Or variations of the same.

The "different rate" is always higher, never lower 😆

[iansheff 86]

21 hours ago, max said:

If you look at it another way it's cheaper to pay the whole lump in one go rather than in two or twelve payments. It suits the businesses to have the money up front so they offer the incentive for you to pay it all together.

 

As to it being a tax on those less well off in society then, yes, it is indirectly. 

 

There are many examples of Poverty Premiums.

Yes I think a couple of the Internet providers offer a discount if you pay the year upfront. 

[Top Cats Hat 10]

On 23 April 2019 at 12:52, lil-minx92 said:

I'm not sure why it is more expensive to pay for 6 months insurance twice a year, than 12 months in one lot. 

It's not so much a case of being more expensive to pay in installments as a case of being cheaper if you pay it all in one go. This applies to almost everything in life including joining the army, where you get a better rate of pay if you sign up for nine years rather than three.