Vehicle Excise Duty, commonly called road tax, is a legal requirement for all vehicles driven or parked on public roads. However, certain categories of vehicles and drivers qualify for full exemption from VED. Understanding these exemptions can save you hundreds of pounds annually and ensure you remain compliant with the law. ## Zero-Emission Vehicles Fully electric vehicles are completely exempt from vehicle excise duty. This exemption applies to all battery electric vehicles with zero tailpipe CO2 emissions, regardless of list price or when they were registered. The exemption was introduced to encourage electric vehicle adoption and has been progressively extended. From April 2025, the first-year rate for zero-emission vehicles is £0, the standard rate is £0, and there is no premium rate supplement for vehicles over £40,000. This means electric vehicles pay no VED at all for their entire operational life. Plug-in hybrid vehicles with emissions below 50g/km pay reduced VED rates. The first-year rate depends on exact CO2 emissions, ranging from £10 to £575. After the first year, these vehicles pay the standard rate of £195 per year, which is the same as petrol and diesel cars. ## Historic Vehicles Vehicles manufactured before 1 January 1981 qualify for historic vehicle exemption from VED. These cars are taxed at the nil rate, meaning no road tax is payable. The exemption applies automatically if the vehicle is over 40 years old from 1 January of the year following its manufacture. The key date is 1 January 1981. Any vehicle manufactured before this date qualifies, regardless of its specific registration date. The Vehicle Licensing Office uses the date of manufacture, not first registration, to determine eligibility. If a vehicle is over 40 years old but has been substantially rebuilt or reconstructed, it may need to be re-registered with a new Vehicle Identification Number, which could affect historic vehicle exemption status. The DVLA assesses such cases individually. ## Disabled Drivers Drivers who receive the Higher Rate Mobility Component of Disability Living Allowance (DLA) qualify for exemption from vehicle excise duty. This applies regardless of the vehicle's CO2 emissions or value. The exemption covers one vehicle per eligible person. You can apply using form V85/1, available from the DVLA website or Post Office. The vehicle must be registered in the disabled person's name, or in their name and their nominated driver's name jointly. Vehicles used solely by a disabled person for the carriage of a disabled person, or vehicles registered to an organisation that provides transport for disabled people, may also qualify. This includes vehicles used by charitable organisations. The exemption also covers vehicles with a valid disabled driver's badge, provided the vehicle is being used for the badge holder's needs. The badge must be clearly displayed. ## Agricultural and Specialist Vehicles Agricultural vehicles, including tractors, agricultural engines, and limited-use vehicles used for agriculture, horticulture, or forestry, are exempt from VED. The vehicle must be used primarily for agricultural purposes on land used for agriculture. Harvesting machines, agricultural sprayers, and similar specialist equipment used exclusively for agricultural work also qualify. However, pick-up trucks and other dual-purpose vehicles used for personal transport do not qualify unless they meet strict criteria regarding use and construction. Vehicles used for gritting roads and other winter maintenance purposes are exempt from VED. This exemption applies to vehicles operated by local authorities and contractors engaged in public highway maintenance. ## Mobility Scooters and Invalid Carriages Invalid carriages and powered wheelchairs designed for use by disabled persons are exempt from vehicle excise duty. This category covers class 2 mobility scooters with a maximum speed of 4mph and class 3 mobility scooters with a maximum speed of 8mph. Motorised bicycles and e-bikes that meet the specific electric assisted pedal cycle definition are also exempt from VED, provided they meet the relevant criteria regarding maximum power and speed. ## How to Claim VED Exemption For electric vehicle exemptions, the DVLA usually applies the exemption automatically when the vehicle is registered, based on its CO2 emissions data. You should not need to take any action for a new electric vehicle purchase. For historic vehicle exemption, you need to apply to the DVLA. Complete the relevant section of the V11 reminder form or apply online through the DVLA website. You will need to provide evidence of the vehicle's manufacture date. Disabled drivers should use form V85/1 to claim exemption. Include evidence of your entitlement to the Higher Rate Mobility Component of DLA, or your certificate of entitlement to Attendance Allowance if you are over 65 and cannot claim DLA. Once granted, the exemption remains in place as long as the vehicle remains registered to the eligible person or organisation and continues to meet the exemption criteria. You should renew the exemption each year through the normal tax disc renewal process. ## Frequently Asked Questions **Do I need to tax my car if it is off the road?** You can use a Statutory Off Road Notification (SORN) to declare the vehicle is not being used on public roads. This removes the requirement to tax the vehicle while it is off the road. SORN is free and can be made online or by phoning the DVLA. **Can I get a refund if my vehicle is written off but was taxed?** Yes. If your vehicle is stolen, exported, or permanently removed from the road, you can claim a refund of any full months of remaining road tax. Apply to the DVLA with evidence of the disposal or theft. **Does the nil rate for historic vehicles apply to newer classic cars?** As of 2026, vehicles manufactured before 1 January 1981 qualify. This means the oldest cars in this category are around 45 years old. Each year the cutoff date advances, making more vehicles eligible. **Are kit cars eligible for historic vehicle exemption?** Kit cars and rebuilt vehicles may qualify if they are over 40 years old from the date of manufacture. However, the DVLA applies additional criteria to kit cars to ensure they are genuinely historic vehicles and not new vehicles claiming exemption.