Get Free Tax for an Extra Year on Your Electric Vehicle (EV) – What You Need to Know

Are you an electric vehicle (EV) owner in the UK? 

Here’s a great opportunity to extend the time before you pay tax on your EV and save money at the same time. If your EV was first registered on or after 1 April 2017, you can re-tax your EV now to get a FREE extra year of tax – but you must act before 1 April 2025 to take advantage of this.

How to Get Free Tax for an Extra Year

If your EV was registered between 1 April 2017 and 31 March 2025, you can re-tax it any time before 1 April 2025 to push back the tax deadline by an additional year. The key is to do it before the tax year ends on 31 March. By re-taxing in March 2025, you will set the new renewal date to March 2026. This means you won’t have to pay road tax for your EV until March 2026, saving you money for another year.

Here’s how it works:

1. Check your V5C Registration Certificate (logbook) – You’ll need your car’s registration number and the reference number printed on your logbook.

2. Go to the Government’s website – Follow the easy process to renew your tax. When asked “Are you sure?”, click to accept, and you’re all set!

By doing this, you can avoid paying tax on your EV for another year, which is especially valuable with the upcoming changes to road tax rates in April 2025.

Road Tax for Electric Vehicles: What Will Change in April 2025?

Starting from April 2025, the way electric vehicles are taxed in the UK will change. The amount you pay will depend on when your EV was first registered. Here’s a breakdown of the new rates:

• Before 31 March 2017: If your EV was registered before this date, you’ll pay £20 per year (based on 2025/26 rates).

• Between 1 April 2017 and 31 March 2025: If your EV was registered during this period, the tax rate will be £195 per year.

• On or after 1 April 2025: New electric vehicles will pay a lower tax rate in the first year: £10. From the second year onwards, the rate will be £195 annually.

Additional Charges for More Expensive Electric Vehicles

For those purchasing high-end electric cars with a purchase price of £40,000 or more, there will be an additional "expensive-car supplement" starting in the second year of tax. This supplement will cost an extra £425 per year on top of the standard £195 road tax.

For example, if you purchase a new EV for £45,000, registered on 1 April 2025, you will pay:

• £10 in the first year

• £195 per year from year two onwards

• An additional £425 supplement from year two onward, bringing the total annual tax to £620 for years two to six.

Tips for Maximising Your Savings

To make the most of these changes, here are a few tips:

Re-tax in March 2025: 

If you own an EV registered between 1 April 2017 and 31 March 2025, make sure to re-tax your vehicle before 1 April 2025 to avoid paying tax until March 2026.

Check for Updates on Government Tax Rates: 

Ensure you're up to date with any changes to tax rates or new supplements that could apply to your vehicle.

Consider the Expensive Car Supplement: 

If you plan to buy a new high-end EV post-April 2025, be mindful of the £425 supplement, which could significantly increase your annual road tax.

Why Choose an Electric Vehicle?

Besides the financial savings, driving an EV is a greener, more sustainable choice for the environment. EVs help reduce carbon emissions and offer lower running costs compared to traditional petrol or diesel vehicles. Additionally, many areas across the UK are investing in charging infrastructure, making it easier than ever to power your EV on the go.

Final Thoughts

With road tax changes approaching in April 2025, it’s a great time to ensure you take advantage of the opportunity to delay your tax payment for another year. If you’re eligible, re-taxing your EV before the 1 April 2025 deadline can help you save money and extend your tax-free period.

At Eeeve.co.uk, we’re committed to keeping you informed about the latest updates in electric vehicle ownership, ensuring you make the most of your EV experience. Check back for more tips, savings advice, and news on all things electric vehicles!