From the 1st October, motorists no longer have to display a paper tax disc.æ The British Vehicle Rental and Leasing Association (BVRLA) is already highlighting the potential benefits to arise as a result of the change. It's estimated that the BVRLA are responsible for one in every 10 cars and one in every seven vans driving on UK roads, so the impact of the change will be substantial. As registered keepers for that many vehicles, the BVRLA had to process and distribute hundreds of thousands of the paper discs each year.æ As a result, the change in policy could end up saving members millions of pounds in administrative costs.æ Indeed, the Driver and Vehicle Licensing Agency (DVLA) estimated that tax disc abolition could end up saving at least £7m every year. BVRLA chief executive Gerry Keaney said: 'We campaigned long and hard to have the paper tax disc abolished. We've also been working with the DVLA for months to ensure that our sector is perfectly poised to help businesses and consumers get to grips with the changes.î To help the UK's drivers better understand the changes to vehicle excise duty (VED) the BVRLA has published new guidance and material on their website. VED does still need to be paid, and will be payable in the same ways such as telephone, online or at the Post Office.æ Fleets are still able to reassure drivers that VED has been paid _ drivers are able to check the vehicle tax status of any vehicle online at www.vehicleenquiry.service.gov.uk The DVLA will still send a reminder when vehicle tax is due to expire, even though there is not a physical reminder of a vehicle's tax expiry date. Vehicle tax is no longer transferable, meaning that fleets cannot now sell vehicles with 'remaining tax'.æ It is the responsibility of the buyer to tax the vehicle before it's used on the road.æ As soon at the tax period runs out, the owner must re-tax it immediately.æ The age-old 'it's in the post' excuse is no longer applicable, as the grace period has been abolished. Fleets will now automatically receive a refund when selling or declaring a vehicle off the road.æ The DVLA will issue the refund to the registered keeper from the date of receipt for any time remaining. Vehicle owners will now be able to pay VED via direct debit.æ From November 1st, direct debit will be permissible on any vehicle with valid MOT.æ There will be a 5per cent surcharge if fleets choose to pay on a bi-annual or monthly basis.æ The direct debit scheme will require a separate mandate for each vehicle. Failure to tax a vehicle will now result in a £1,000 fine.æ Vehicle number plates will now be checked by camera and registrations run through a database. You can still check the cost of tax by visiting www.vehicleenquiry.service.gov.uk The use of trade plates will not change drastically.æ Leasing companies are responsible for more than one million vehicle disposals each year, so it's good to report that as long as an operator has paid for a trade licence, it will no longer be necessary to display physical evidence for the vehicle.
