14
VAT is calculated at 17.5%.
Effective from 1 January 2007.
The chart below shows the VED bands and the charges which will be levied:
VED bands
The total ‘On the road’ costs above include the applicable
VED charge plus the ‘On the road’ costs as detailed below:
Additional ‘On the road’ costs
Delivery to retailer £
388.51
Number plates £
20.00
VAT £
71.49
Vehicle first registration fee £
38.00
Total £
518.00
VED band
CO
2
emissions (g/km)
Petrol VED £
Petrol total ‘On the road’ costs £
Diesel VED £
Diesel total ‘On the road’ costs £
A
Up to 100
0.00
518.00
0.00
518.00
B
101 to 120
40.00
558.00
50.00
568.00
C
121 to 150
100.00
618.00
110.00
628.00
D
151 to 165
125.00
643.00
135.00
653.00
E
166 to 185
150.00
668.00
160.00
678.00
F
186 to 225
190.00
708.00
195.00
713.00
G
Over 225
210.00
728.00
215.00
733.00
Vehicle Excise Duty (VED).
All vehicles first registered on, or after, 23rd March 2006 are subject to a new form of Vehicle Excise Duty (Road Fund Licence).
This new duty is based upon the type of fuel the vehicle uses and its carbon dioxide (CO
2
) emissions level, measured in grams
per kilometre (g/km). To help you identify the duty you will pay, the DVLA has created seven categories for petrol engines and
seven categories for diesel engines.
The weight of a vehicle will influence the level of CO
2
emission it produces; as a result, vehicles with higher levels of
specification and factory-fitted options may emit higher levels of CO
2
.
The CO
2
figure quoted for each vehicle is the maximum possible. The unladen weight of the vehicle is calculated by range
at the time of manufacture and the maximum possible CO
2
emission for that weight range is applied according to the Council
Directive 80/1268EEC as amended by Commission Directive 1999/100/EC on the approximation of the laws of the member
states relating to the carbon dioxide emissions and the fuel consumption of motor vehicles.