Vehicle Excise Duty or VED is an annual tax for anyone who drives or keeps a vehicle on public roads.
Good to know: VED is also known as vehicle tax, car tax, road tax or showroom tax.
How much VED you pay depends on several things:
- The type of vehicle owned
- When it was first registered
- Its environmental performance, for example, CO2 emissions
Since 2014, it's not been possible to transfer tax when selling a car; instead, sellers can contact the DVSA to get a full refund on the sold car’s remaining months’ tax.
Learn more about cancelling your car tax
If you buy a vehicle, it must be taxed before you drive it, or you'll be breaking the law.
For the most up-to-date information, it's best to check the gov.uk website, where you'll be able to:
- Learn more about vehicle tax rates
- Learn more about the different types of tax on different vehicle types
- Check if a vehicle is taxed
- Cancel your vehicle tax and get a refund
- Learn about vehicles exempt from tax