Stopping Car Tax Payments: Declaring SORN
When you want to take tax off a car, the most direct meaning is to legally stop paying Vehicle Excise Duty (VED). This is achieved by declaring your vehicle as SORN (Statutory Off Road Notification) to the Driver and Vehicle Licensing Agency (DVLA). You must do this if you plan to keep your car off public roads, for instance, in a garage, on a driveway, or on private land. Failure to tax your vehicle or declare it SORN means you risk a penalty fine, and your vehicle will be seized if it is not taxed and is parked on a public road. This process effectively removes the requirement to pay the annual car tax until you decide to tax it again or sell it.
- Declare SORN to legally stop paying VED.
- Only use SORN if the car is off public roads.
- Avoid fines by declaring SORN promptly.
- SORN is valid until the car is taxed or sold.
The SORN declaration is a crucial step for any car owner intending to remove their vehicle from active use and, consequently, from the obligation to pay VED. It signifies that the vehicle will not be used on public roads. This isn't a one-off action; it remains in effect until the vehicle is successfully taxed again, sold, scrapped, or exported. If you're considering selling a car that is currently declared SORN, the new keeper will be responsible for taxing it before they can legally use it on public roads.
When is SORN Necessary?
You must declare your car SORN if you do not intend to tax it. Common scenarios where declaring SORN is required include:
- The vehicle is kept on private land, such as a driveway or garden, and is not in a registered car park.
- You've purchased a vehicle but haven't taxed it yet, and it's not being stored on a public road.
- The vehicle is undergoing repairs or restoration and will be off the road for an extended period.
- You are selling a vehicle and the buyer is not immediately taxing it.
It is vital to understand that a vehicle declared SORN cannot be parked on a public road. A public road includes any road or track that the public has access to, even if it's private land with public access. If your car is on a public road and is neither taxed nor declared SORN, you will incur penalties.
How to Declare SORN
The process for declaring a car SORN is managed by the DVLA and can be done online or by post. You will need specific details to complete the declaration:
- The 16-digit number from your car’s registration certificate (V5C) – the log book.
- The 12-digit number from your car’s 11-digit Vehicle Identification Number (VIN).
- The 11-digit number from your car’s Insurance Certificate or Cover Note.
The online service is generally the quickest and most efficient method. You can access it via the GOV.UK website. If you prefer to do it by post, you can download a SORN form from the GOV.UK website or request one from the DVLA. Whichever method you choose, ensure you have all the required documentation ready. Once your SORN declaration is confirmed, you will receive confirmation from the DVLA, and you can legally stop paying car tax.
What Happens After Declaring SORN?
Once your vehicle is declared SORN, you no longer need to pay for Vehicle Excise Duty for it. You will not receive a renewal reminder for VED. However, it is your responsibility to keep track of the SORN status and to tax the vehicle before you intend to use it on public roads again. If you intend to sell the vehicle, you must inform the DVLA that you have sold it, and the SORN status will be cancelled for your records. The new keeper must then tax the vehicle before it can be used.
Reducing Your Ongoing Car Tax (VED)
While ‘taking tax off’ typically implies stopping payments, some car owners might interpret it as finding ways to reduce the amount they pay annually. Vehicle Excise Duty (VED) is calculated based on several factors, primarily the car's CO2 emissions and its list price, though older vehicles may use engine size. Understanding these factors allows you to make more tax-efficient choices when purchasing or operating a vehicle.
The government periodically reviews and updates VED rules, so it's always advisable to check the latest regulations. For cars registered after a specific date, the system often categorises them into different tax bands based on their emissions, with lower emission vehicles generally incurring lower tax rates. For newer electric vehicles, there may be specific exemptions or lower rates, but this can change. Even for vehicles registered before April 2017, tax bands were based on CO2 emissions, meaning more fuel-efficient cars often cost less to tax.
Understanding VED Bands and Rates
The current VED system in the UK, for cars registered on or after 1 April 2017, generally works in two tiers: an initial rate paid in the first year based on CO2 emissions, and a standard rate thereafter. The standard rate is a flat annual fee, with an additional 'expensive car supplement' applied to vehicles with a list price over a certain threshold in their first year.
- First Year Rate: This varies significantly based on CO2 emissions. Cars with zero emissions pay £0 in the first year. Higher emissions mean higher tax.
- Standard Rate: After the first year, most cars pay a flat annual rate. For zero-emission cars, this rate is currently £0. For other cars, it is a fixed annual amount.
- Expensive Car Supplement: This applies to cars with a list price over a set amount when new, for the second to sixth year of registration, in addition to the standard rate.
Making informed choices about your next vehicle is the most effective way to reduce ongoing tax.
Choosing Tax-Efficient Vehicles
When looking to minimise your annual car tax, consider these points:
- Zero or Low Emissions: Vehicles with the lowest CO2 emissions, particularly electric vehicles, often benefit from the lowest (or zero) VED rates.
- Fuel Type: Petrol and diesel cars are taxed differently based on their emissions. Alternative fuel vehicles (like hybrids) might also have specific tax considerations.
- Purchase Price: For cars registered after April 2017, the 'expensive car supplement' can add significantly to the tax bill for premium vehicles, even if their emissions are moderate.
- Older vs. Newer: While newer cars might be more fuel-efficient and have lower CO2 emissions, older cars (pre-2017) might fall into lower tax bands based on engine size if they are less polluting. Conversely, many older, less efficient cars can have very high tax rates based on engine size.
You can check the current VED rate for any vehicle by using the GOV.UK vehicle tax check service, which requires your vehicle's registration number. This tool provides information on how much tax is due, when it needs to be paid, and its emissions details.
Other Tax Considerations
Beyond VED, there are other ways tax might be relevant to car ownership, although these don't directly involve 'taking tax off' in the SORN sense:
- Disability Car Tax: Certain individuals with disabilities may be eligible for exemption from paying VED through the 'road tax discount' scheme, provided they receive a specific disability benefit. This requires an application to the DVLA.
- Company Cars: If a car is provided by your employer, you will likely pay Benefit-in-Kind (BiK) tax, which is an income tax on the benefit of having the car. The rate depends on the car's P11D value and CO2 emissions.
While these scenarios don't involve removing tax from a car you own outright, they represent situations where tax is either reduced or paid differently. Always refer to the official GOV.UK website for the most current and accurate information regarding VED rates and eligibility for exemptions or discounts.
Re-taxing Your Car After SORN
What happens when you decide to take your SORN-declared car back onto public roads? You cannot simply start driving it. The crucial step is to re-tax the vehicle. This process officially cancels the SORN status and makes the car road legal again. It's essential to do this before you use the vehicle on any public road. Driving an untaxed vehicle, even if it's declared SORN, will result in fines.
The re-taxing process is straightforward and mirrors the initial taxing procedure when you first buy a vehicle. You will need your vehicle's registration number and either your 12-digit VIN or the 11-digit reference number from your car tax renewal reminder (V11) or your payment slip (V40). If you've lost your V5C (log book), you may need to use the 11-digit number from your Vehicle Identification Number (VIN) found on the V5C, or in some cases, you may need to obtain a replacement V5C.
How to Tax a Car Again
You can re-tax your car through the same channels used for initial taxation or renewal:
- Online: This is the most convenient method. Visit the GOV.UK website and use the vehicle tax service. You will need your registration number. If you previously declared SORN, the system will prompt you to tax the vehicle, effectively cancelling the SORN.
- By Phone: You can call the DVLA’s automated vehicle tax service.
- At a Post Office: You can visit a Post Office branch that offers vehicle tax services. You will need to bring your V5C registration certificate or the V11 reminder letter.
Ensure you have valid insurance for the vehicle before you tax it. You will be asked to confirm that you have valid motor insurance for the vehicle before you can complete the tax payment.
Timing Your Re-taxation
You can tax your car at any time. If you tax it partway through a tax period that was previously paid for, you will pay from the start of the next month. If the car has been declared SORN, you can tax it to start immediately or from the first day of the next month. The tax duration can typically be chosen from 6 or 12 months. Be aware that VED rates can change, so the rate you pay when re-taxing may differ from the last rate you paid.
What if You've Lost Your Log Book (V5C)?
If you cannot find your V5C, you may still be able to tax your car if you have the 11-digit Vehicle Identification Number (VIN) from the vehicle itself, or if you have the 11-digit reference number from a V11 renewal reminder, or a V40 reminder. However, to get a replacement V5C or to update your details, you'll need to contact the DVLA. If you're buying a car that has been declared SORN, ensure the seller provides you with a V5C, as you will need it to tax the vehicle.
Common Scenarios and Considerations
Understanding the nuances of taking tax off a car, whether through SORN or by reducing ongoing costs, often depends on specific circumstances. Many car owners encounter situations that require careful attention to DVLA regulations to avoid penalties.
One frequent query is about buying a car that is already SORN. If you buy a vehicle that is declared SORN, you must tax it before you can use it on a public road. The seller should provide you with the V5C registration certificate. You can then tax the vehicle online, by phone, or at the Post Office, using the details from the V5C. The SORN notification is automatically cancelled when you tax the vehicle.
Selling a Car Declared SORN
When you sell a car that has been declared SORN, you must inform the DVLA that you have sold it. You can do this online by using the reference number on your V5C, or by filling out the relevant section of the V5C and sending it to the DVLA. You should also give the new keeper the V5C/2 (the new keeper supplement). The SORN status will be cancelled from the date the DVLA receives notification of the sale. It is the responsibility of the new keeper to tax the vehicle before they use it.
What if Your Car is Stolen or Written Off?
If your car is stolen, you should report it to the police and the DVLA immediately. If it is stolen and you do not expect to get it back, you do not need to declare it SORN. Instead, you should inform the DVLA that the vehicle has been stolen and is unlikely to be recovered. You will need to provide a crime reference number. The DVLA will then cancel the vehicle tax and any SORN declarations. If your car is written off by an insurance company, they will typically handle the necessary paperwork with the DVLA, including de-registering the vehicle and cancelling its tax. However, it's wise to confirm this with your insurer and, if necessary, inform the DVLA yourself.
Exporting a Vehicle
If you plan to export your car permanently, you must inform the DVLA. You will need to complete a V5C/4 form, which is part of your V5C registration certificate, and send it to the DVLA. This process cancels the vehicle's UK registration. You will not need to tax the vehicle if it is being exported, but you must ensure it is insured for transport and does not enter public use in the UK.
Always ensure you have the correct documentation before undertaking any of these processes.