Vehicle Excise and Registration Act 1994 section 2

Annual rates of duty

Section 2 establishes how the annual rate of vehicle excise duty is determined for different vehicles and different charging circumstances.

• Vehicle excise duty is charged at the annual rate set out in Schedule 1 for the relevant description of vehicle.
• Where duty is charged solely for keeping (not using) a vehicle on a road, the general rate specified in Schedule 1 applies.
• Where duty arises because a vehicle is registered but would not otherwise be charged for road use, the rate is based on the vehicle's description when its last use licence was issued.
• If no use licence has ever been issued for the vehicle, the general rate in Schedule 1 applies as a default.