When does a classic car become tax exempt?
A classic car becomes eligible to be tax exempt once it turns 40 years old, based on its manufacture date. As of 1st April 2025, this means that cars built before 1st January 1985 qualify for historic vehicle tax exemption.
To benefit from this exemption, you must apply to the DVLA to have your vehicle reclassified as historic. Once approved, you won’t need to pay vehicle road tax, also known as Vehicle Excise Duty (VED). You’ll still need to renew it annually to confirm your classic car’s status as roadworthy or whether it’s SORN (Statutory Off Road Notification), even though there’s no cost.
Owners of historic classic cars can benefit from this exemption along with MOT exemption rules if they have not been heavily modified. This makes maintaining a historic vehicle easier to own and affordable, while still ensuring it remains safe and roadworthy.
If your car qualifies for historic status, it will also likely be eligible for a specialist classic car insurance policy.
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More on historic vehicle road tax exemption
Historic vehicles are cars, vans and motorcycles that are at least 40 years old and classified as such by the DVLA. Once a vehicle is officially registered as historic, you no longer need to pay vehicle tax (VED). This exemption applies from the start of the financial year after your car’s 40th birthday, meaning:
- A car built before 1 January 1984 qualifies from 1 April 2024.
- A car built before 1 January 1985 qualifies from 1 April 2025.
- A car built before 1 January 1986 qualifies from 1 April 2026.
And so on.
How to apply for a historic vehicle tax exemption
It’s important to note that tax exemption isn’t automatic once your car becomes 40 years old.
To benefit from the historic vehicle tax exemption, you’ll need to apply for historic status via the DVLA. This process ensures your vehicle is officially recognised under the historic vehicle tax class with the DVLA.
To apply, you’ll need:
- The log book (V5C) in your name. If you don’t have the log book, you can complete an application for a log book (V62) by post.
- Your vehicle tax reminder letter (V11) – if you have one.
- Evidence of your vehicle’s MOT history or your MOT certificate. Or evidence if your vehicle’s exempt from an MOT (V112).
Once approved, you’ll also receive an updated V5C logbook confirming the new tax class and you can then benefit from the tax exemption.
Historic vehicle tax & MOT exemption: FAQs
Yes, there are. Historic vehicles used for business, hire or commercial purposes don’t qualify for tax exemption, even if they meet the 40-year age criteria. In addition to historic vehicles, the following types of vehicles are also exempt from paying road tax:
- Vehicles used by a disabled person
- Disabled passenger vehicles
- Mobility vehicles and powered wheelchairs
- Vehicles with a valid Statutory Off Road Notification (SORN)
- Vehicles used for agriculture, horticulture or forestry
Now that your classic car qualifies for tax exemption, you’ll still have to renew your tax annually. You pay nothing, but you still must let the DVLA know if your vehicle is on the road or whether it’s SORN.
You can be sent reminders by the DVLA to renew your vehicle tax before it expires to make things easier too.
Your vehicle does not need an MOT if it was registered more than 40 years ago, as long as no substantial changes (such as amends to the chassis, body, engine or other criteria) have been made in the last 30 years.
While historic vehicles are exempt from annual MOTs, they must remain roadworthy and safe to drive. Owners are still responsible for regular maintenance to ensure their car meets legal requirements.
We advise still getting an MOT so that you know your classic car is still safe to drive on the road.
Yes, even if your classic car is tax exempt, you are still legally required to have insurance if you drive it on public roads. All vehicles must be insured unless they are declared as SORN (Statutory Off Road Notification).
If your classic car is off the road and registered as SORN, you’re not legally required to have insurance, but opting for laid-up insurance can protect it from fire, theft and accidental damage while in storage.
Specialist classic car insurance policies offers extra benefits, such as agreed value cover, lower premiums for limited mileage and 15% off for club members. If you’re unsure about what coverage is best for you, speaking with a specialist insurance broker can help you find the right policy.
A vehicle does not need to be insured in order to qualify for historic vehicle tax exemption. Tax exemption is based purely on a car’s age and eligibility under DVLA rules, not on whether it currently has an insurance policy in place.
That said, insurance is still a legal requirement if the vehicle is kept or used on public roads. Even if a classic car is tax exempt, it must be insured unless it has been declared off the road using a Statutory Off-Road Notification (SORN). Many classic car owners choose specialist insurance even when their vehicle is rarely driven, as it provides protection for storage, theft, and agreed value cover.
Yes, a modified classic car can lose its tax-exempt status if the changes are considered substantial under DVLA guidelines. To remain eligible for historic vehicle tax exemption, a car must not have undergone significant alterations to its chassis, body, suspension, steering, or engine within the last 30 years.
Minor or period-correct changes, such as safety upgrades or modifications that were common when the car was in production, are usually acceptable. If in doubt, it’s always best to check with the DVLA or seek advice before making significant modifications, especially if maintaining tax exemption is important to you.
Tax exemption and SORN serve quite different purposes, even though both can result in no road tax being paid. Tax exemption applies to vehicles that qualify as historic under DVLA rules, meaning they no longer require vehicle excise duty. A tax-exempt vehicle can still be legally driven, provided it is insured and roadworthy.
A SORN, or Statutory Off-Road Notification, is used to declare that a vehicle will not be driven or parked on public roads. When a vehicle is under SORN, it must be kept entirely off the public highway. Unlike tax exemption, SORN is a temporary status and must be updated if the vehicle returns to the road, whereas historic tax exemption remains in place once the vehicle qualifies.
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