tax

I was wondering if it is even posisble to buy a Focus ST with Track pack at under £40k then? Maybe without metallic paint but I was after a metallic grey one. I've seen a new one ready to go advertised for £39945 as the RRP is £40470. I was hoping this would sneak in under the loqwer rate of tax?

SiJY said:

I was wondering if it is even posisble to buy a Focus ST with Track pack at under £40k then? Maybe without metallic paint but I was after a metallic grey one. I've seen a new one ready to go advertised for £39945 as the RRP is £40470. I was hoping this would sneak in under the loqwer rate of tax?

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Doesn't matter what it's advertised at, its the RRP that counts.
If the RRP is over 40k you pay the increased VED, even if you say £39999 for it.
Spec the car up on the Ford website exactly as it is (if you can) and see what the RRP is, that will give you your answer.

Yes that is a pain as I can no longer use my families Ford discount as they now live outside the UK too. The spec is just over £40k by around £500 as the Track Pack would be the only option I would have + Metalic Paint. Is Ford discount taken into account though do you know?

Lol, what part of "the tax is based on the RRP".....?

alexp999 said:

Lol, what part of the tax is based on the RRP.....?

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Well, Tax doesn't exist, it's VED, but if the RRP of the vehicle is over 40k, you pay an enhanced rate of VED for 5 years. Look it up.

SiJY said:

Yes that is a pain as I can no longer use my families Ford discount as they now live outside the UK too. The spec is just over £40k by around £500 as the Track Pack would be the only option I would have + Metalic Paint. Is Ford discount taken into account though do you know?

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It's based on the RRP, the Ford discount is the price you pay, it has no effect on the RRP. Ford can changethe RRP, but they will only raise it not lower it.

I think the question has been answered enough times in this thread. That was my point, it doesn't matter what discount. It's based on RRP!
And call it what you like, it's still a tax.

alexp999 said:

I think the question has been answered enough times in this thread. That was my point, it doesn't matter what discount. It's based on RRP!
And call it what you like, it's still a tax.

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You asked a question though, what part of the tax is based on the RRP.. the answer is none of it, because tax doesn't exist. It's vehicle excise duty and it's based off the RRP of the vehicle.
Your question answered

ydnA said:

You asked a question though, what part of the tax is based on the RRP.. the answer is none of it, because tax doesn't exist. It's vehicle excise duty and it's based off the RRP of the vehicle.
Your question answered

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It wasn't that sort of question.

I meant, what part of "the tax is based on RRP", don't people understand and needs repeating over and over again. lol.

EDIT: You know the word duty (in this context) means tax right? The government like to use both the word tax and duty so it isn't so obvious when you are double taxed, but duty literally just means tax which is due.

EDIT2: The price (and RRP) also includes 20% VAT (a tax) and a first registration fee (another "tax"). But Govt likes to say, Duty, Tax and Fee so it doesn't look like tax, tax tax.

Apologies as I'm fairly new to this forum (having joined a few years ago and not actively looking until recently) and haven't read any previous threads on this. I was aware of the threshold and the VED just not if the dealer is advertising it at a lower price. Why do they bother if it's only a £500 saving? I'm guessing the dealers know this and so lead people into a false sense of security knowing that you end up paying the high VED even though they're displaying the price at less than £40k (that's if you dont ask the question that is).

SiJY said:

Apologies as I'm fairly new to this forum (having joined a few years ago and not actively looking until recently) and haven't read any previous threads on this. I was aware of the threshold and the VED just not if the dealer is advertising it at a lower price. Why do they bother if it's only a £500 saving? I'm guessing the dealers know this and so lead people into a false sense of security knowing that you end up paying the high VED even though they're displaying the price at less than £40k (that's if you dont ask the question that is).

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They advertise it as what you'd pay in cash before any VED included, so whilst it's a £500 saving, it's what you'd save on the price of the car, the VED doesn't come into question until registering of the vehicle as it has the possibility to change, so there's no point advertising it all in, if it changes they'll just have to changethe advert.