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Road Tax = tax paid twice?

Posted: Thu Feb 28, 2013 8:08 am
by djcat
Hello,

just paid my car's road tax and had a thought about it. As I am paying with my net salary after income tax, wouldn't that mean its tax paid twice? If I consider my income tax bracket of 40% and given I pay 270 Pounds, am I not in fact paying 378 from my gross salary?

If so, can I claim that difference back from HMRC?

Just a thought, after all every little helps (as Tesco taught us).

Re: Road Tax = tax paid twice?

Posted: Thu Feb 28, 2013 9:01 am
by gn2
Technically it isn't a tax, it's a licence.

Re: Road Tax = tax paid twice?

Posted: Thu Feb 28, 2013 9:18 am
by you you
djcat wrote:Hello,

just paid my car's road tax and had a thought about it. As I am paying with my net salary after income tax, wouldn't that mean its tax paid twice? If I consider my income tax bracket of 40% and given I pay 270 Pounds, am I not in fact paying 378 from my gross salary?

If so, can I claim that difference back from HMRC?

Just a thought, after all every little helps (as Tesco taught us).
Why should you only have to pay tax once? Consider VAT that you pay out of your already taxed income.

Re: Road Tax = tax paid twice?

Posted: Fri Mar 01, 2013 6:01 am
by djcat
you you wrote:
djcat wrote:Hello,

just paid my car's road tax and had a thought about it. As I am paying with my net salary after income tax, wouldn't that mean its tax paid twice? If I consider my income tax bracket of 40% and given I pay 270 Pounds, am I not in fact paying 378 from my gross salary?

If so, can I claim that difference back from HMRC?

Just a thought, after all every little helps (as Tesco taught us).
Why should you only have to pay tax once? Consider VAT that you pay out of your already taxed income.
Yes, thats the reason why business can claim VAT back, or maybe because they would pay VAT twice if they didn't?

Anyway....to pay a "road duty" out of taxed income would mean "the government" gets paid twice. Is there no way I can claim the gross to net difference back? I wouldn't want to do that with council tax as that one is for regional services and a different pot from the national government one but why do I have to pay taxes to them twice?

Re: Road Tax = tax paid twice?

Posted: Fri Mar 01, 2013 8:19 am
by you you
djcat wrote:
you you wrote:
djcat wrote:Hello,

just paid my car's road tax and had a thought about it. As I am paying with my net salary after income tax, wouldn't that mean its tax paid twice? If I consider my income tax bracket of 40% and given I pay 270 Pounds, am I not in fact paying 378 from my gross salary?

If so, can I claim that difference back from HMRC?

Just a thought, after all every little helps (as Tesco taught us).
Why should you only have to pay tax once? Consider VAT that you pay out of your already taxed income.
Yes, thats the reason why business can claim VAT back, or maybe because they would pay VAT twice if they didn't?

Anyway....to pay a "road duty" out of taxed income would mean "the government" gets paid twice. Is there no way I can claim the gross to net difference back? I wouldn't want to do that with council tax as that one is for regional services and a different pot from the national government one but why do I have to pay taxes to them twice?
No. Businesses can claim VAT back if they are VAT registered as the tax is only payable by the final consumers but is collected at each part of manufacturing, supply and distribution chain

Re: Road Tax = tax paid twice?

Posted: Fri Mar 01, 2013 12:23 pm
by Cracksta
your earning enough on high tax, we all pay it too so be happy :lol:

But truthfully, if you do wiggle out of this, another tax will introduced anyway so its a lose-lose situation.

Re: Road Tax = tax paid twice?

Posted: Mon Mar 04, 2013 5:36 pm
by jasontheparamedic
The government is (sadly) free to make up any tax they want, even if they call it by a different name, such as registration fee. You won't win anything by fighting the people who can make up the rules as they go along.