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when you part-exchange a car do the dealers just cash in the remaining car tax?

Whenever I’ve looked at purchasing a car from a dealer (not many occasions as it’s a rip off) the cars they sell always have no tax. This is then an added expense of £190 to get the car legal for the road. However, when I ask any dealer to value my car for a part-exchange, they always ask how much tax is left and insist that it is left on the car. If I say I’m refunding the tax, they adjust the price by a couple hundred quid. Is this the same as leaving up to £190 sellotaped to your windscreen when you chop in a car? Is this widely practiced?

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10 Responses to “when you part-exchange a car do the dealers just cash in the remaining car tax?”

  1. harry said :

    you can sort out a price first for the car and then tell them to take the tax of that way you are not cheated

  2. t3h1 said :

    arrange a price then remove the tax, or just make sure your on the last month of the tax when you trade in,
    or do what i do and haggle to have a years tax added on to your new car to finalise the deal

    if your good at this go for free tax plus a years free insurance and a full tank of fuel, they always want your business more than you need them – afterall you can always go somewhere else….

  3. J C said :

    of course it is

  4. BIG D said :

    I have had my tax disc back twice from main dealers and claimed a refund both times.
    However, in each case my old car was almost a wreck and going into auction.
    I was just glad to be rid actually.

    Tax discs like car costs generally are just a drain. As soon as it is spent I assume it gone!!

  5. chopchubes said :

    Yep. That’s exactly what they do.
    If there’s any weeks remaining on the disc, just remember to pocket it before you leave the car. It’s just another game they play to improve their profit margins. Also make sure you’ve got just enough petrol to get it to the dealer. You can be pretty sure there’s next to no fuel in your new car when you get it.

    Good luck.

  6. st33lgr1p said :

    The answer to your question is YES all the time and the cash they get back from the tax disc depending on how many months are left on the disc goes straight in to their back pocket,
    so you can imagine, if a garage sells around 40 cars a month and each car that comes in for exchange has at least 3 to 4 months of tax left on it, then that is quite a bit of money they are getting with out having to pay any sort of income tax on it,
    as Arther Daily the TV character would say a nice little earner
    my son !!!
    if you look at any car for sale on any garage forecourt you wont ever see car tax in the window why ?, because the garage owner has cashed then in.

  7. picanto54 said :

    The remaining tax should be sorted out in the deal. If your part exchange is not good enough for them to sell on their forecourt then they will sell the car on to a ‘Trader’ You can be as sure as hell that they won’t let that car go with the remaining tax. They will get the disc refunded by the DVLA. The car dealers guides do not value a car including the tax disc. It is just a way of the dealer adding a little more commission in to the deal.

    If they do keep your old car and sell it again – you would be able to go past the garage in a few days when the car has been cleaned and a price is in the windscreen , but not the tax disc you left in it!

  8. Dave W said :

    I used to work as a car salesman. Generally this is the case, although there is nothing to stop you from asking if you can keep it, all we used to do was send them back and get a refund (although believe it or not keeping a tax disc would not mean that the salesman got more commission – it was not taken into account in the price of your car) Remember, any valuation for your car is negotiable, a good source is glass’ guide (used by the trade) you can value your own car online (they charge a fee – but remember you will probably get more than this extra for your car by having the insider knowledge) these valuations do not take into account any remaining tax on the car, therefore it should not be deducted if you ask to keep the tax disc. I would always suggest checking something like Glass’ before going to a dealer, that way you have a fair idea of what they are going to offer you. One other tip is to simply ask if they will tax the car for you included in the price. Most dealers will, if it is the difference between getting a deal or not, only do this at the point where you are actually going to buy the car though. I.e tell the salesman, if you give me 12 months road tax, (they will never give you a full tank) but 1/2 tank of fuel, and try for something like mats, or headlamp protectors (these do not cost them much) then you will buy the car TODAY. It puts them on the spot to meet your demands then, and will almost certainly work.

    One other tip – all dealerships will try to sell you both paint protection treatement and gap insurance. Never buy these at the prices they offer you them at, it is very easy to get at least £100 off each product – I have never paid more than £99 for paint protection and know that some dealers charge as much as £599!

    Hope this helps – good luck finding your new car!

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