lo possession tax or light vans FTA
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sumer Council has told DTp that possession tax is an unnecessarily complicated means of countering tax evasion, and says it would be better to impose a tax on fuel.
"At a time of increasing stringency in public outlay, we must record our regret that the Government has chosen to inflict on itself an area of considerable expenditure which it could have avoided," says NCC.
It has criticised the plans for owners to be able to apply for exemption from tax after a year, saying that this is too long. it points out that this represents an unfair burden on a vehicle owner who wants to use a vehicle only, for instance, in the summer peak.
Instead, NCC wants owners to be able to apply for exemption before tax is due for renewal on the grounds that the vehicle will be out of use for four months. If the vehicle is then used, "appropriately severe" penalties should be imposed on the owner.
It also urges that owners should be able to apply for refund of tax if vehicles are scrapped, exported, or stolen and never recovered. But it agrees that there should be no refund just because a vehicle is sold.