UK EV TAX changes > 01/04/27

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#1
The more I think about it the more it irritates me; from April 1st in the U.K. any EV purchased which costs more than £40,000 (List Price) will be liable to a £310 per year additional tax for the first 5 years.
Raise taxes on the gas guzzling Range Rovers which I see being driven back and forth to the school gates but don't punish those that wish to assist in the transition to a sustainable future.
I see an option to spec up to £40k then pay for software upgrades afterwards but Elon will need to assist by cutting the after market premium for these upgrades.
 

MelindaV

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#2
The more I think about it the more it irritates me; from April 1st in the U.K. any EV purchased which costs more than £40,000 (List Price) will be liable to a £310 per year additional tax for the first 5 years.
Raise taxes on the gas guzzling Range Rovers which I see being driven back and forth to the school gates but don't punish those that wish to assist in the transition to a sustainable future.
I see an option to spec up to £40k then pay for software upgrades afterwards but Elon will need to assist by cutting the after market premium for these upgrades.
Many states in the US already have a premium on EV registration form $50-$400/year ( no matter the sale/retail price ) with quite a few more states moving toward the same. At least the U.K. is limiting it to the upper priced car owners and not singling out EVs.
"New cars will be divided into 13 different CO2 bands, which will determine how much you pay in the first year of ownership, but zero-emission vehicles, such as electric cars, will qualify for the lowest band and therefore be tax-free.
For the second year of onwards, zero-emission vehicles that cost less than £40,000 new remain tax-free, while a flat £140 a year will be payable for all petrol, diesel and hybrid cars that cost less than £40,000. Cars that cost more than £40,000 attract an additional 'Premium' fee of £310 for year two to five of ownership, regardless of their emissions."​
So really only paying the £310 years 2,3,4 &5 that is strictly based on value. Better than us being charged more to register any EV than an ICE.
 
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#3
Many states in the US already have a premium on EV registration form $50-$400/year ( no matter the sale/retail price ) with quite a few more states moving toward the same. At least the U.K. is limiting it to the upper priced car owners and not singling out EVs.
"New cars will be divided into 13 different CO2 bands, which will determine how much you pay in the first year of ownership, but zero-emission vehicles, such as electric cars, will qualify for the lowest band and therefore be tax-free.
For the second year of onwards, zero-emission vehicles that cost less than £40,000 new remain tax-free, while a flat £140 a year will be payable for all petrol, diesel and hybrid cars that cost less than £40,000. Cars that cost more than £40,000 attract an additional 'Premium' fee of £310 for year two to five of ownership, regardless of their emissions."​
So really only paying the £310 years 2,3,4 &5 that is strictly based on value. Better than us being charged more to register any EV than an ICE.
Granted, I get that but it shows their lack of commitment to transition from ICE to EV. I watch the Chelsea tractors that drive the couple of miles to school and back every morning belching out toxic fumes. If the government want more money take it from them.
 

Badback

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#4
Granted, I get that but it shows their lack of commitment to transition from ICE to EV. I watch the Chelsea tractors that drive the couple of miles to school and back every morning belching out toxic fumes. If the government want more money take it from them.
What's a Chelsea tractor?
 

BigBri

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#11
Bit off topic but I left town the other day and ended up behind this truck that had the transport style smoke stacks and when he stomped on it hard enough it'd belch out black smoke that just sat on the road. I had to slow down and give him a lot of room or have almost no visability. Was like real life Mario Kart. Should've grabbed the license plate to report the guy.
 

Twiglett

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#12
Bit off topic but I left town the other day and ended up behind this truck that had the transport style smoke stacks and when he stomped on it hard enough it'd belch out black smoke that just sat on the road. I had to slow down and give him a lot of room or have almost no visability. Was like real life Mario Kart. Should've grabbed the license plate to report the guy.
Welcome to the morons who go "Rolling Coal"
to save the questions - https://en.wikipedia.org/wiki/Rolling_coal
 

RAD

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#15
I see an option to spec up to £40k then pay for software upgrades afterwards but Elon will need to assist by cutting the after market premium for these upgrades.
Fingers crossed. Unless the $ improves over the next 18 months it's going to be very easy to be over £40k on the Model 3.
If the Model 3 was not an EV and they actually spent the road tax on improving the roads I might be prepared to forgive their insanity.
 

RAD

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#16
I see an option to spec up to £40k then pay for software upgrades afterwards but Elon will need to assist by cutting the after market premium for these upgrades.
gov.uk said:
https://www.gov.uk/government/news/thinking-of-changing-your-car-new-tax-rates-may-apply
If a vehicle has an original list price (the published price before any discounts) of more than £40,000, the rate of tax is based on CO2 for the first time it is taxed.
I'd presume the £4500 EV incentive is classed as a discount.
As Tesla is selling the long range model as an optional upgrade, would that be included in the published "list price"?
As you say, the penalty for adding EAP and FSD later goes against the saving we might make on vehicle tax.

Based on the current ratios between US and UK prices for the Model S and Model X, we might be over the £40k threshold if we spec the long range battery option. I recall hearing Trevor mention the Canadian prices change based on exchange rates, anyone know if that's true of the UK prices too? If it is then hopefully our Great British Pound recovers by 2019. :D

conversion1.jpg
 
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TrevP

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#17
I'm presuming when they say list price that is pre-EV incentives, meaning we cannot spec up to £44500.

Based on the current ratios between US and UK prices for the Model S and Model X, we might be over the £40k threshold if we spec the long range battery option. I recall hearing Trevor mention the Canadian prices change based on exchange rates, anyone know if that's true of the UK prices too? If it is then hopefully our Great British Pound recovers by 2019. :D

View attachment 3042
So far Tesla's has been consistent with pricing between their cars and options so that's how we know pretty accurately what the Model 3 will cost in Canada. Do the maths using the same conversion rates in the UK and you should know what Model 3 will arrive at
 
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Jayc

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#19
Fingers crossed. Unless the $ improves over the next 18 months it's going to be very easy to be over £40k on the Model 3.
If the Model 3 was not an EV and they actually spent the road tax on improving the roads I might be prepared to forgive their insanity.

The 40k+ road tax surcharge is supposed to be a "luxury tax" but I think the fundamental concept of associating "luxury" with price of car doesn't work with EVs. Paying extra £8k for extra range doesn't really give you any added premium quality to the car.

At the end of the day, this is up to Tesla in the UK to deal with:

1. Either point this out to the relevant government authorities

2. Or make the range increase available as a software upgrade with an upfront cost for the upgradeability feature

Unfortunately, I have not seem any indication whatsoever that Tesla UK is willing or bothered about any of this. Last year when I spoke to a high ranking employee at Tesla UK, the response was that they tried their best but didn't get anywhere.