How to cancel your car tax

If you’ve got a new car and sold your old one, or just want to claim back unused tax months, follow these easy steps.

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How to cancel my car tax?

  1. Contact the DVLA. Any change in your vehicle ownership needs to be reported to the DVLA. You can call the DVLA on 0300 790 6802 Monday to Friday between 8am and 7pm, and on Saturday from 8am to 2pm. You can email here, or send a letter to Vehicle Customer Services, DVLA, Swansea, SA99 1AR.
  2. Check that your tax has been cancelled. Your car tax should be automatically cancelled. If you have direct debits with the DVLA, these will be automatically stopped and your car tax will no longer be valid.
  3. Wait for your refund to come through. You shouldn’t need to do anything, and a refund will come by cheque through the post. If your refund hasn’t come within six weeks, there may be a problem and you should contact the DVLA for an update on your refund.
  4. Check that your payment information is correct. If you have received the cheque, but the information on it is incorrect, return the cheque along with a note providing the correct information and post it to: Refund Section, DVLA, Swansea, SA99 1AL.

The whole process can take as little as 10 minutes.

When can I cancel my car tax?

The government website lists these as the only reasons why you might need to cancel your car tax:

  • If your car is sold or transferred to someone else
  • If your car is taken off the road – for example, you’re keeping it in a garage. This is called a Statutory Off Road Notification (SORN)
  • If your car is written off by your insurance company
  • If your car gets scrapped at a vehicle scrapyard
  • If your car is stolen – you’ll have to apply for a refund separately
  • If your car gets exported out of the UK
  • If your car becomes registered as exempt from vehicle tax

If one of these applies to your car, and it currently has full unused car tax months left on it, you can cancel the tax and get a refund.

How do I cancel my car tax direct debit?

Your direct is automatically cancelled by the DVLA when they receive notification of a change in the vehicle’s registered keeper. You will automatically receive a refund for any full months you have left on your vehicle tax and this refund is calculated from the day that the DVLA receives your information.

Do I need to cancel road tax when I sell my car?

You are no longer able to sell a car with road tax anymore so the existing tax will be cancelled as soon as the DVLA process the change in vehicle ownership. When you sell your car, you need to notify the DVLA immediately (by post or email) when you sell your car or that you’ve transferred it to a new registered keeper.

If you fail to notify the DVLA that you are no longer the owner of the vehicle, you could be in with a hefty fine.

How long does it take to get a car tax refund?

The DVLA will need time to process your application but your car tax refund should take no longer than 6 weeks to come through. You should contact the DVLA if you haven’t received your refund cheque after 6 weeks.

Bottom line

You’ll need to get in touch with the DVLA to cancel your car tax and there are a few options to do this with very little hassle.

And if you have any unused months of car tax remaining, you could be in line for a refund. Winner.

Frequently asked questions

Finder survey: What proportion of Brits say the option to pay in installments is one of the most important considerations when choosing car insurance?

ResponseFemaleMale
Ability to pay in instalments26.66%21.2%
Source: Finder survey by Censuswide of 1032 Brits, December 2023
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Esther Wolffowitz was a publisher at finder.com specialising in insurance. Esther holds an MSc in Media and Communication Governance from the London School of Economics and Political Science (LSE). See full bio

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14 Responses

    Default Gravatar
    LauraAugust 28, 2018

    I’ve scrapped my car and sent the log book off. Does that automatically cancel my car tax direct debit or do I need to phone up and do it?

      AvatarFinder
      CharisseSeptember 1, 2018Finder

      Hi Laura,

      Thank you for reaching out to finder.

      In order for you to cancel your car tax, you have to contact the DVLA and notify them about the changes with your car. You can reach DVLA by phone, email or by post. Click here to see DVLA contact details.

      Your car tax will then be automatically cancelled as well as your direct debit with DVLA.

      Cheers,
      Charisse

    Default Gravatar
    AngelaApril 26, 2018

    If I cancel my tax on the last day of the month, will I get full refund from the first day of the next. i.e., ( cancel end of April, get from 1st of may.)

      AvatarFinder
      JeniApril 27, 2018Finder

      Hi Angela,

      Thank you for getting in touch with finder.

      As a friendly reminder, while we do not represent any company we feature on our pages, we can offer you general advice.

      Your refund will be processed by the DVLA. You shouldn’t need to do anything, and a refund will come by cheque through the post. If your refund hasn’t come within 6 weeks, there may have been a problem and you should contact the DVLA to let them know you haven’t received your refund.

      You can call the DVLA at 0300 790 6802 from Monday to Friday between 8am and 7pm, and on Saturday from 8am to 2pm.

      I hope this helps.

      Have a great day!

      Cheers,
      Jeni

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