January 13, 2009...2:49 pm

Do you drive a tax-free car?

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The VW Polo BlueMotion is tax-free

The VW Polo BlueMotion is tax-free

With a road tax increase around the corner, driving a tax-free car could save you between £35 and £950 per year.

There’s a growing range of band A vehicles which don’t incur tax, from the Volkswagen Polo BlueMotion to the Tesla Roadster electric sports car.

Do you drive a tax-free car, or know anyone who does?

From April 1 motorists will see a £5 increase in car tax, irrespective of what car they drive – unless it falls into tax band A.

Cars which emit less than 100g/km of CO2 are band A vehicles – and are exempt from road tax.

New band A cars bought between April 2010 and March 2011 will also avoid a “first-year rate” of up to £950.

Here are some of the cars which fall into band A and how much CO2 they emit.

Diesel cars

•    Ford Fiesta ECOnetic – 98g/km
•    Volkswagen Polo BlueMotion – 99g/km
•    Seat Ibiza Ecomotive – 99g/km

Petrol cars

•    Toyota iQ – 99g/km

Electric cars

•    G-Wiz – 0g/km*
•    Tesla Roadster – 0g/km*

Upcoming cars

•    Smart Fortwo CDi – 88g/km
•    Smart ED – 0g/km*
•    Lightning – 0g/km*

*Although there are no direct CO2 emissions from an electric car’s tailpipe, they burn more energy from power stations than standard vehicles.

Do you own a tax-free car?

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