Trying to make sense of HMGs VED regime....aww bless.. Like a lot of things it "passeth all understanding".
Thought it was simply down to emissions of the car?
If you are looking at different cars of the same age below £40k, yes. But if you are looking at cars of different ages, well that isn't so clear!. For example, there was a thread recently where the OP was considering, amongst others, a BMW i3. For the range extender version, road tax is free, but only for cars registered before 31/3/17, after that it is £135, despite the emissions being the same (and assuming the list price did not exceed £40k)!.
For cars with a list price of more than £40k (and this includes cars whose price has been pushed over £40k due to optional extras), according to the GOV website, will cost an extra £325 per year for 5 years, from the 2nd time the vehicle is taxed (i.e, 6 years). Quite why they couldn't just say, "till the car is 6 years old" is anyones guess, but certainly adds weight to the whole system being needlessly complicated.
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