Are you missing out on a road tax rebate? Millions of drivers could be owed hundreds

MILLIONS of UK drivers could miss out on state vehicle tax refunds.

Car experts are urging motorists to take the necessary steps to reclaim road tax after selling their car, otherwise they will miss out on a refund.

Millions of British drivers could be missing out on government money


Millions of British drivers could be missing out on government moneyCredit: GETTY_HUB

Road tax payments can range from £0 per year for fully electric vehicles to £2,605 per year for sports cars.

The Ford Fiesta was the top-selling used car last year. Road tax for the 2020 model year was £155 per year.

That means motorists could be missing out on hundreds or even thousands of pounds in tax refunds from the state, depending on the car they sold.

After notifying the DVLA that the car has been sold, the motorist must apply for a tax refund as soon as possible in order to receive the maximum refund amount, as only a full month’s tax refund can be claimed.

Almost seven million vehicles changed hands in the UK last year, with the Ford Fiesta topping the list of best-selling used models.

The used car market has grown rapidly over the past year as global Covid-19 lockdowns restricted car sales.

Used car prices also rose as there was greater demand for used vehicles due to the shortage of new cars during the pandemic years.

Last July, the average selling price of a used car in the UK was £17,173 – up almost 20% year-on-year.

Tim Alcock from said: “Any driver who has recently sold their car after paying road tax is entitled to a refund from the government.”

“If you’ve paid your road tax for a full year but sell the car after a few months, you’re entitled to a majority of the tax back into your bank account.

“It is important to note that the DVLA tax refund is for whole months only. Therefore, it is best to request the refund immediately to avoid losing any cash.

“After selling your car, motorists should inform the DVLA as soon as possible to ensure they get as much money back as possible.

“Before a vehicle is sold, the vehicle log (V5C) should also be updated to reflect any changes in name, address or modifications made to the vehicle.

“False information can result in motorists not receiving a tax refund.

“Also make sure you tell the DVLA that you have sold your car and provide the full name and address of the buyer. If you don’t do this, you may not get your money back either.

This comes after a driving expert revealed how a 20p part can protect you when driving in wet weather.

Also, a car expert has revealed four tests you can do at home if your air conditioner isn’t cold enough.

Alley Einstein

Alley Einstein is a USTimesPost U.S. News Reporter based in London. His focus is on U.S. politics and the environment. He has covered climate change extensively, as well as healthcare and crime. Alley Einstein joined USTimesPost in 2023 from the Daily Express and previously worked for Chemist and Druggist and the Jewish Chronicle. He is a graduate of Cambridge University. Languages: English. You can get in touch with me by emailing

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