Millions of drivers could receive huge car tax refund this year using DVLA service

An untaxed car

Motorists can receive a car tax refund if they declare their vehicle off the road

PA
Felix Reeves

By Felix Reeves


Published: 19/10/2023

- 09:27

More than four million drivers say they have an excess car which they do not use

Millions of Britons could be eligible to receive a car tax rebate, with new research suggesting that many drivers don’t know how much their vehicle is worth.

According to new research, over 4.2 million drivers have an excess car they do not use sitting on their driveway at home.


At the same time, more than half of all drivers are unaware of the untapped financial value of the car they have, potentially leading to them losing money when they sell it.

More than half of Britons (52 per cent) assume their car will always go down in value once they have used it, despite the price of used cars rocketing in recent years.

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As a result of the pandemic and the resulting global supply chain issues, new cars were not as readily available between 2020 and 2022, with used cars becoming far more popular.

One in 10 motorists have taken advantage of this and sold their car, although the main motive for doing so was to help cope with the rising cost of living crisis.

Alex Buttle, co-founder of Motorway, highlighted how cars will be one of the most valuable assets for many Britons and act as a lifeline for millions.

He added: “However, our research shows that too many car owners still don’t see their car as an asset and as such, are unaware of the value of their car or how it depreciates over time.

“We’ve created the Car Value Tracker to help our customers keep track of their car’s value and to empower them with the knowledge they need to sell their car at the right time.”

For people who have their cars on their driveway but do not use them, they could be entitled to a car tax rebate.

If someone is no longer using a car, they can contact the DVLA and declare the vehicle SORN – Statutory Off Road Notification.

Once a driver has done this, they can get a refund for any full months of remaining tax they had left, as stated on GOV.UK.

While motorists may get a car tax rebate from declaring it SORN, drivers are warned that they cannot use the vehicle until they have taxed it again.

For some drivers, the SORN will start immediately if the vehicle tax has expired or they are not applying in the month the vehicle is due to start.

If someone’s vehicle tax has expired, they will not receive a tax refund, although they will not need to pay any additional tax.

The SORN will start on the first day of the next month if they apply in the month their vehicle tax is about to expire.

Drivers can apply online using their 11-digit number in the V5C vehicle log book and the 16-digit reference number on the vehicle tax reminder.

Anyone looking to SORN their vehicle should ensure their details are up to date on the DVLA website and their V5C log book to avoid missing out.

LATEST DEVELOPMENTS:

DVLA sign

Drivers can use DVLA services to SORN their car

PA

The DVLA frequently uses its social media platforms to inform drivers about how they can declare their car SORN and how they can tax it again to get it back on the road.

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