'Showroom' tax goes live
* New tax payable from April 1 * Your questions answered * Find out how much, here...
The Government's new 'showroom' tax comes into effect today, so anyone buying a new car will be liable for this new one-off charge. We answer your questions.
What is the so-called 'showroom' tax?
The new tax is a one-off first-year payment on top of the usual vehicle excise duty rate.
When will I have to pay it from?
The new tax is payable from April 1. It's no joke, either the new tax could add an extra 515 to your road tax bill.
The payment is based on your new car's CO2 emission and will add between 70 and 515 to your first road tax bill.
Who will pay it?
The new tax will be payable on all cars registered from April 1.
How much will I have to pay?
The table below shows how the additional tax will be charged.
'Showroom' tax rates
VED Rates in 2010-11
Band A (up to 100g/km CO2) no fee
Band B (101-110g/km CO2) 20
Band C (111-120g/km CO2) 30
Band D (121-130g/km CO2) 90
Band E (131-140g/km CO2) 110
Band F (141- 150g/km CO2) 125
Band G (151 to 165g/km CO2) 155
Band H (166 to 175g/km CO2) 180
Band I (176 to 185g/km CO2) 200
Band J (186 to 200g/km CO2) 235
Band K (201 to 225g/km CO2) 245
Band L (226 to 255g/km CO2) 425
Band M (Over 255g/km CO2) 435 + First Year Rate
+515 =Total First Year Cost