Poss new Landmark customer. Tax Query

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Chrisjpark
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Poss new Landmark customer. Tax Query

Post by Chrisjpark » Fri Jan 04, 2019 10:07 am

Hi everyone.

In the process of negotiating a new DS Landmark in Yulong White. Saw one yesterday for the first time and they are stunning. I am having a lot of debate though with the dealer over the list price reaching over 40k for tax purposes.

The bog standard ‘list’ price of the car Is 39105. The Yulong White is an additional 640. Totalling 39745.

JLR are telling me the 830 first year tax and 55 reg fee are taking this above the 40k and therefore will fall into the higher tax bracket as this is what they will base their list price on.

However, I have spoken to DVLA twice now and they have told me that the first years tax and registration fee should NOT be included in the list price. I have also found documentation from DVLA for the 2017 tax rules providing advice to dealers on what is and is not included in the list price. I am not sure though if these rules changed in 2018.

Does anyone have any definitive answer on this one? I really want to take the plunge and get this car ordered but I really don’t want to get an extra sting from the tax man.

Thanks


The Highlander
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Re: Poss new Landmark customer. Tax Query

Post by The Highlander » Fri Jan 04, 2019 10:37 am

You don’t mention what engine size, fuel type etc.

The list price is £39,990 for a 2lt 180 diesel auto. Any extra will push it over.

Personally, you are arguing over £350 per year extra, it’s not a kings ransom, annoying perhaps. Have what you want. You don’t buy a Land Rover for thrift or on a budget, do you?

That said, the DS and Evoque can both fall into the under £40k bracket. Makes it more affordable for people that ordinarily wouldn’t look at a LR. Therein lies the problem, every other model is way above £40k, so i just accept it as a necessary evil.


Chrisjpark
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Re: Poss new Landmark customer. Tax Query

Post by Chrisjpark » Fri Jan 04, 2019 11:17 am

Another 310 per year is an additional 1200 plus over 5 years and effectively adds a lot for the choice of a paint colour. When you are already at the top end of your budget then it is a deciding factor. It may not be a kings ransom to you or other LR owners but it will be a considerable amount to others.

The landmark only comes in the 2.0 litre automatic 180bhp Diesel engine.

While you state the list price is 39990, this includes the 830 first year road tax and 55 registration fee which the DVLA state should not be included.


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Dashnine
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Re: Poss new Landmark customer. Tax Query

Post by Dashnine » Fri Jan 04, 2019 11:38 am

2018 rules are the same as 2017, and DVLA are the definitive holders of the answer, but finding a definition of list price is not easy...

You can use this: https://www.whatcar.com/news/2017-ved-r ... paid/n3281 where it’s “the price of the car before the ‘on-the-road’ charges are added, such as a delivery charge, new vehicle registration fee, numberplates and fuel.“

I can’t see how you can calulate list price including a tax, in order to calculate the tax itself?!?

Maybe it’s a nice little earner for them, I wonder how many others have been conned by this dealer?
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Chrisjpark
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Re: Poss new Landmark customer. Tax Query

Post by Chrisjpark » Fri Jan 04, 2019 11:44 am

Thanks dashnine. That was my thoughts as well. You can’t really base a tax calculation on something that has already tax added.

To be fair to the dealer I think that the DVLA don’t really make this clear. At the same time if the dealer knows he has you over the 40k anyway then there is more scope to sell extras.


The Highlander
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Re: Poss new Landmark customer. Tax Query

Post by The Highlander » Fri Jan 04, 2019 12:05 pm

I agree with -9, the DVLA should be able to tell you, but you can speak to two different people and get two different replies.

As for not adding a tax, it happens with VAT.

I too looked at What Car and other sites and it’s not clear. However they use an example.

“For example, the Audi A6 Avant 2.0 TDI Ultra Black Edition S tronic has an RRP of £39,890 so it would cost £140 a year in VED in years two to six. However, choosing an optional three-point steering wheel for £200 pushes that figure to £40,090 meaning that the Audi will now cost £450 a year in those same years to tax. Whether car manufacturers will change their pricing or specification levels remains to be seen.”

LR pricing in making the RRP of the Landmark £10 short of £40k is evidence enough they are including the first years excise in my view.

The first years excise is over £1k and I know for a fact you can’t add £1k worth of extras to a Landmark and still miss the £40k tax. In fact you can even add car mats unless they are after market.

I’d think there are a few people on here who went for the Landmark wanting to miss the excise hike at £40k and they should be able to tell you?


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Re: Poss new Landmark customer. Tax Query

Post by Chrisjpark » Fri Jan 04, 2019 12:21 pm

Fair point on the VAT Highlander. But a different sort of tax. Add VED so they can charge extra VED doesn’t sound right.

That is my hope that there are a few Landmark customers (with metallic paint and no extras) who can tell me what their v5 states for tax purposes.

I have spoken to DVLA twice and both told me the same thing but did not have a form of word they could provide in writing.


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Re: Poss new Landmark customer. Tax Query

Post by The Highlander » Fri Jan 04, 2019 12:33 pm

I can see where the confusion lies.

There should also be a case for taking the figure from what’s actually paid rather than RRP. That’s every bit as much of a rip off as including the first years registration fee, if indeed you do, although that said, some creative accounting could come into play I suppose.


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Re: Poss new Landmark customer. Tax Query

Post by decho » Fri Jan 04, 2019 12:53 pm

I think that was the whole point of the landmark Edition, to try and bring it in under the £40k
I have just bought one a few weeks ago and the tax will be £140. I was assured this by Pentland Landrover.
I would not have bought it otherwise out of a matter of principal!
If you add any extras however, you are done for!
Beautiful 2018 Landmark in Corris Grey....with ugly LR tow bar!


Chrisjpark
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Re: Poss new Landmark customer. Tax Query

Post by Chrisjpark » Fri Jan 04, 2019 1:01 pm

Hi decho.

Thanks for the reply. Habe you got the v5 yet for you Landmark. Apparently that is where it tells you if the higher tax rate applies.

I understand that LR brought in this model to avoid the higher tax bracket, but they are marketing the black model at 39990 OTR. The grey and white obviously add an extra 640 on top. This is where the confusion comes in. I’m hoping that this is the case and I will be taking the plunge tomorrow. 😬


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