localnews.ie

Mayo councillors push for fairer motor tax system – ‘You should not be penalised for taxing your car for three months’

By Charlotte Davis, Independent.ie

Councillors in the Castlebar Municipal District have discussed a proposal they say would make motor tax renewals fairer for all drivers.

Currently, drivers can renew their car tax on a quarterly, six-month, or annual basis.

However, councillors noted that the way the rates are calculated effectively penalises those who cannot pay the full amount in one go.

For example, the three-month rate is set at 28.25pc of the annual lump sum, meaning a driver renewing every three months pays 113pc of the annual charge over the course of a year.

The six-month rate is 55pc of the annual sum, resulting in a total of 110pc if renewed biannually.

Councillors agreed that this system places an extra burden on drivers who rely on shorter-term payments.

Cllr Harry Barrett suggested that the total annual car tax should simply be divided by the number of months a driver chooses to pay for, without any additional charges.

He said this would ensure that drivers opting for shorter-term payments do not end up paying more than those who can afford a one-year lump sum.

“It's dearer to tax a car for three months than it is for the entire year,” he said. “A person who taxes their car for three months will pay more on an annual basis, and I don't think that’s fair,” he said.

“You should not be penalised for taxing your car for three months because that’s all you can afford,” Cllr Barrett added.

Cllr Donna Sheridan supported the idea, noting that dividing the total annual tax by the chosen number of months would make the system fairer for those who cannot pay the full year upfront.

“There are people who can’t afford to tax for the year who are getting charged more in a year than the people who do it in one shot,” she said.

The proposal was introduced as an amendment to an original suggestion by Cllr Al McDonnell, who called for the option to tax cars for up to five years.

He questioned why longer-term car tax options are not currently available: “I don’t see why a car can't be taxed for multiple years. You can get a driving licence for multiple years, a passport for multiple years.”

He suggested that the council write to the Department of Transport to propose longer-term tax options.

“It would make sense to tax a car for a maximum of five years; it’s not going to be wasted because it does enhance the value of the car,” he added.

Both Cllr Barrett and Cllr McDonnell agreed that while drivers should be able to choose the length of time for which their car is taxed, the rate should remain consistent - whether it is for three months, one year, or five years.

This article has been funded by the Local Democracy Reporting Scheme.