Car Tax (VED) Calculator

Vehicle Excise Duty (VED), commonly called car tax or road tax, is charged annually and collected by the DVLA. The amount you pay depends on when your vehicle was first registered, its fuel type and CO2 emissions. From April 2025, electric vehicles are no longer exempt — they now pay the lowest first-year rate and the standard annual rate from year two.

For petrol and diesel cars registered after 1 April 2017, first-year rates are based on CO2 emissions and range from £10 (0g/km) to £5,690 for the highest-emission vehicles (2026/27 — rates doubled in April 2025 then uprated). From year two, most cars pay the standard annual rate (£200 in 2026/27). Cars with a list price over £40,000 pay an additional £440 per year for the first five years on top of the standard rate.

Vehicles registered between 1 March 2001 and 31 March 2017 are taxed under the old banding system based on CO2 emissions, with Band A (up to 100g/km) paying nothing and higher bands paying up to £695.

How Vehicle Excise Duty (VED / car tax) works. For cars registered after April 2017: First-year rate depends on CO2 emissions (£10 for 0g, up to £5,690 for 255g+ in 2026/27 — rates doubled in April 2025 then uprated). Standard annual rate from year 2: £200 for all cars in 2026/27 (the £10 alternative-fuel discount was removed in April 2025). Plus £440 'expensive car supplement' for years 2-6 if list price exceeds £40,000 (£50,000 for EVs from April 2026). For cars registered before April 2017: based on CO2 emissions or engine size (older cars), with rates from £20 to £695/year.

Major change April 2025 — EVs now pay VED. Electric vehicles registered from April 2025 pay £10 first-year rate, then the standard rate from year two (£200 in 2026/27). EVs from 2017-2025: £0 in year 1 + £200 from year 2 (VED on EVs began April 2025). EVs before 2017: £20/year. The expensive car supplement also applies to EVs — but from April 2026 the EV threshold rose to £50,000 (from £40,000), so only premium EVs over £50k (e.g. Mercedes EQE) incur £440/year for 5 years.

When and how to pay. Online via gov.uk/vehicle-tax — annual, 6-monthly (5% surcharge), or monthly Direct Debit (10% surcharge). DVLA sends reminder ~3 weeks before expiry. You must tax the vehicle even if exempt (£0 rate) — gov.uk records it as 'taxed'. Untaxed vehicles are subject to £80 fine or vehicle clamping if seen on public roads (ANPR cameras detect untaxed cars in seconds).

Exemptions and reductions. £0 rate categories: vehicles for disabled drivers (DLA/PIP higher rate mobility), historic vehicles (40+ years old, no commercial use), agricultural vehicles, mobility scooters/wheelchairs, electric vehicles registered before April 2017 (still £0 from April 2025). 50% reduction: disabled people getting PIP standard mobility component. SORN (Statutory Off-Road Notification): no VED required if not driven on public roads.