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The DVLA is currently in the process of developing an on-line facility for all vehicle transactions and this includes Personalised Registrations (PR) that should go live at the end of 2014. In the meantime, they are mindful of the impact centralisation has had on the processing times for some PR applications, particularly those linked to a first registration. They are therefore looking at opportunities suggested by the NFDA to streamline the process ahead of the planned electronic solution later this year.
They have put together the following option that would require a minor law change. The DVLA’s aim is to have this new process in place for the March peak so Ministerial approval would be needed to implement any changes.
Proposed email applications for PR and First Registration:
This would see dealers being able to send a PR/first registration application as an attachment to an e-mail. The requirements would be as follows.
NON-TRANSFERABILITY OF VED
As a consequence of the proposed changes in the Chancellor’s recent Autumn Statement, it will no longer be possible to transfer the benefit of vehicle tax upon sale or transfer of a vehicle to a new keeper. The new keeper would need to re-tax the vehicle.
A large percentage of customers are already familiar with the process of needing to tax the vehicle particularly when purchasing vehicles from dealers. However, it is acknowledged that some customers obtain vehicles from independent or private sellers with the vehicle tax in force.
A dealership can no longer use a vehicle that has been put into the trade (yellow slip V5 registration document) on the road without the use of a trade plate as the tax disc will no longer be valid.
The reason for making this change to prevent the tax from being transferred from keeper to keeper is to avoid a new registered keeper unknowingly keeping an untaxed vehicle.
The DVLA believe that introducing non-transferability of vehicle tax regardless of method of payment is a clearer message to motorists to tax vehicles and more importantly protects them from unknowingly becoming the keeper of an un-taxed vehicle.
ABOLITION OF TAX DISCS
The Industry has not been given a fixed date for this to happen but we believe it will be implemented by October 2014.
PAYMENT OF TAX DISCS BY DIRECT DEBIT
We have been advised that the ability to pay by direct debit for VED will be introduced in October 2014 giving consumers another easy option to ensure their vehicles are taxed.