50% VRT v's New Motor Tax

dceire · 27-02-2008 7:51pm #1

My dad's looking to update his current Bora to the Volve S40 Flexifuel but isn't sure if he should buy now or wait for the new motor tax system in July.

Correct me if i am wrong because I’m not 100% on this but my understanding of the situation is that if he buys now he will get a 50% reduction on the VRT but be placed in the 1.8L tax bracket regardless of the new system when it comes into force & if he buys after 1st July he will not receive the 50% reduction on VRT but will save on Motor Tax.

If the above is correct which one is likely to be of best benefit in the run of things? Will the motor tax savings be that substantial?

Anan1 · 27-02-2008 7:56pm

How about forgetting about the FlexFuel and changing to a diesel in July?

dceire · 27-02-2008 8:00pm

I think the only problem there would be the price of the Bio fuel as opposed to the diesel. As i said its my old man who's buying it, I'm more than happy to stick with petrol for the moment

Anan1 · 27-02-2008 8:15pm

I shouldn't think the biofuel is any cheaper than diesel, when you consider that he'd be burning quite a few more litres of it. Additionally, the VRT will probably be lower on the diesel. Just a thought, but I reckon the diesel might well be cheaper both to buy and to run.:)

dceire · 27-02-2008 8:32pm

I dont know a whole lot about them to be honest but its worth looking into at least!

50% VRT v's New Motor Tax

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