When Does a Motorcycle Become Tax Exempt?

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There are 3 situations when you no longer have to pay tax on your motorcycle:

  1. Your motorcycle is classed as a historic vehicle
  2. You have an electric motorcycle
  3. You are registered as disabled

Let’s take a quick look at each of these situations so you have all the information you need about paying or not paying tax on your motorcycle. 

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1. Your motorcycle is classed as a historic vehicle

As of May 2018, new legislation was approved, which stated that vehicles over 40 years old do not need to have tax paid on them or hold an MOT certificate

As a side note, it is worth knowing that if you have modified your vehicle substantially, then it will still be tax-exempt, but it may require an MOT. 

2. You ride an electric motorcycle

If your motorcycle is battery-powered and is a fully electric vehicle (not a hybrid), then you will pay no tax on the vehicle, just be sure to register the bike with the DVLA as if you were taxing a traditional motorcycle. 

Also read our guides to:

3. You are registered disabled

You can apply for an exemption from paying vehicle tax if you get one of the following benefits:

  • Higher rate mobility component of Disability Living Allowance (DLA)
  • Enhanced rate mobility component of Personal Independence Payment (PIP)
  • Enhanced rate mobility component of Adult Disability Payment (ADP)
  • Higher rate mobility component of Child Disability Payment
  • War Pensioners’ Mobility Supplement
  • Armed Forces Independence Payment

The vehicle must be registered in the disabled person’s name or their nominated driver’s name.

You can sometimes get a vehicle tax reduction if you are not fully exempt from paying vehicle tax; a 50% tax reduction can apply if you receive:

  • PIP standard rate mobility component
  • ADP standard rate mobility component

For how to claim for vehicle tax exemption or reduction, check out this page on the Gov.uk website. 

Final Thoughts

There it is, the only 3 reasons why your motorcycle would be exempt from tax. 

It is important to note that despite not having to pay a fee, your vehicle still needs to be ‘taxed’.

Essentially you have to apply for a vehicle tax exemption certificate, so your bike is registered as being ‘taxed’ regardless of you not having to pay anything for it. This applies to all 3 scenarios. 

Check out our full motorcycle tax guide.