2021 Guide to Taxing Your Van

 

How much road tax do you have to pay as a van driver in 2021?

In this post we’ll explain the UK van tax bands for 2021, with a link to a handy commercial vehicle tax calculator that’ll tell you exactly how much you can expect to pay.

What is Van Tax?

When we talk about van tax, what we’re really talking about is vehicle excise duty (VED).

Think of VED as a running cost for your vehicle. In an effort to encourage drivers to choose greener models, the government calculates VED based on your vehicle’s emissions. The closer your vehicle’s emissions are to zero, the less you’ll have to pay. And the higher your vehicle’s emissions, the more you’ll have to pay.

There are different VED tax bands for cars. But there’s a flat rate for vans. It applies to almost all light commercial vehicles with a revenue weight of 3,500 kg or less, including pick-up trucks.

For the 2021/2022 tax year, the rate’s £275 for a 12 month period. You can split the payment into monthly Direct Debit payments. This will ultimately cost you a little more for the year, so you can make a slight saving by paying in a lump sum.

UK Van Tax Bands

Beyond the flat rate VED, there are certain tax classes for vans depending on the size of your vehicle and the date it was registered. With vans in these tax bands, the exact amount you pay depends on whether you pay for six months or 12 months. And once again, you can get a slight discount if you pay in a lump sum.

You can see all of these different rates by viewing document V149 on the government’s website.

Commercial Vehicle Tax Calculator

Beyond VED, there are certain other expenses and obligations you may have to consider when it comes to taxing your van. You can learn more about HMRC’s rules for van drivers here.

So exactly how much tax will you have to pay on your van in 2021/2022?

Commercial Fleet has a handy commercial vehicle tax calculator on their website. Just enter the make, model and fuel type of your van, and it’ll automatically calculate your tax obligations for the next year. Head here to get started.

Not sure where you stand with taxing your van? You can check your van’s current tax status on the government’s website. Just enter your van’s registration number to learn your current status, including when your next tax payment is due. This service will also tell you your van’s MOT status. Head here to get started.

Ready to Pay Your Van Tax?

To pay your van tax, you can either head to your nearest Post Office, or you can pay online.

Pay online by Direct Debit, and you can choose whether to pay in monthly instalments, in six-monthly instalments, or in a single lump sum for the year. As we explored above, you can make a slight saving if you choose to pay in a lump sum.

A major benefit of paying by Direct Debit is that the government will automatically renew your payment once your tax runs out. That way, you may never have to worry about taxing your van again.

Head here to get started.

Don’t Forget Van Insurance!

It’s illegal to drive your van without taxing it. It’s also illegal to drive without adequate insurance cover. So while you’re thinking about van tax, why not also take the time to look at your van insurance policy?

At Insure 2 Drive, we specialise in giving careful van drivers comprehensive cover at an affordable price, with a range of extras to suit your professional needs. Head here to get a free quote online in minutes.