ROLLING EXEMPTION FROM VED OF VEHICLES OVER 40 YEARS OLD

The Federation of British Historic Vehicle Clubs (FBHVC) is naturally pleased to hear the announcement in the Budget that henceforward there will be a rolling exemption from liability to pay Vehicle Excise Duty (VED) in respect of vehicles over 40 years old.

FBHVC is particularly pleased that in its announcement of this change yesterday (19th March 2014) the Government has specifically recognized the position of the FBHVC and pointed to research undertaken by the FBHVC and the Historic Vehicle Research Institute.

FBHVC notes however the gradually evolving European Union definition of vehicles of historic interest as being 30 year old vehicles.

FBHVC also notes that the procedure introduced by DVLA to implement the announcement in the 2013 Budget of extension of exemption pre-1974 vehicles on 1st April of this year has the effect that any qualifying vehicle for which VED has already paid in respect of any month or months after 1st April this year, financial benefit from the exemption will be obtainable only from 1st May 2014.

FBHVC is questioning this administrative approach, which does not appear to reflect the 2013 Budget announcement, and will be asking if this administrative anomaly is intended by DVLA to be rolled forward along with the rolling exemption.

ENDS