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DVLA tax quick to take money but won’t issue refund

5 replies

firstcoffee3 · 30/10/2025 12:31

Maybe I’ve misunderstood the process? Anyone had the same thing?

I recently part exchanged my old car. The direct debit was taken on the 1st, and I sold my car on the 2nd. I arranged the direct debit for the new car on the same day, and the dealership notified the DVLA that they had taken ownership of my old car. I expected to receive a refund (dealership also said I would) for the tax paid on the 1st, but since I hadn’t heard anything, I called this morning and was told that I wouldn’t be getting a refund because they were notified the day after the payment was processed. I said “Yes, that’s because I still had to drive the car on the 1st as it wasn’t sold until the following day”

I asked whether this was a new policy or something, as I’ve owned several cars over the years and not had this issue before, but she couldn’t explain why and just kept repeating that I wouldn’t receive a refund. It seems mad to pay for something I’ve technically not used. Only £20, so not the end of the world but I still had to pay tax on the new car, so a bit of a joke imo!

OP posts:
boymamahere · 30/10/2025 12:38

I’m wondering if this is the reason… You get refunded for any FULL months that you no longer require the tax for that vehicle. If a full month is 1st to the 1st then 2nd to the 1st is not a full month so = no refund. I believe?

EuroTour · 30/10/2025 12:40

boymamahere · 30/10/2025 12:38

I’m wondering if this is the reason… You get refunded for any FULL months that you no longer require the tax for that vehicle. If a full month is 1st to the 1st then 2nd to the 1st is not a full month so = no refund. I believe?

This. You only get refunded for full months so if you still had it on the 1st, no refund due unfortunately

firstcoffee3 · 30/10/2025 13:03

Thanks all, I realised that after having a read on Google. The advisor didn’t explain it like that over the phone. I only had the car for a day before changing which is why I was annoyed. Honestly modern day con artists they are but I guess that’s the government for you. Oh well

OP posts:
SprayWhiteDung · 30/10/2025 13:11

Yes, they always work it to suit them. If you sold your old car on 1st Nov, you'd have to pay tax for it for all of Nov; but if you then had a hiatus and only bought your replacement car on 30th Nov, you would still have to pay tax for that car for all of Nov.

I remember when they sneaked this rule in and all the complaints about them effectively getting two months of tax for one car for a month every time a car is sold - both from the buyer and from the seller.

It's disgusting enough that they charge you more for paying monthly. I get it if it's a product/service that you buy from a commercial third-party who exist to make a profit; but it's disgraceful that the government also seeks to cash in from poorer people who can't front it all in one go.

kiwiane · 30/10/2025 13:26

Yes it’s full months only and always has been.

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