Smash and grab

This week we traded in our car under the government 'Scrappage scheme'. The car road tax had another 5 months to run and we asked the dealer for the disc so that we could claim a refund from DVLA. Our request was refused and we were told that the government has to keep it. Is this true? We feel this needs clarification but have been unable to contact DVLA for an answer.

Asked on 29 August 2009 by

Answered by Honest John

Yes. It’s an extra rule imposed. You can only claim VED back as long as you are the registered keeper of the car, which you won’t be after you have swapped it it. But the rules for scrappage are that the car must be MoT'd (or within 14 days of needing one), must be taxed and, bizarrely, must be insured. So you can’t claim the tax back before you do the deal.

Tags: buying new cars scrappage scheme

Dear Honest John,

Please help me choose my next car. I would like it to have:

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