Do I need to tax a car that costs £0 in vehicle tax?
GOV.UK explicitly says you must tax a vehicle even where no money is payable. '£0 tax' does not mean the vehicle can simply be left untaxed in DVLA records.
Complete the renewal or taxation in the normal way so the database shows the vehicle as taxed. This is particularly important when buying a car because the previous keeper's tax does not transfer.
If the vehicle is not being used or kept on a public road, SORN is the alternative.
For 'Do I need to tax a car that costs £0 in vehicle tax?', keep the DVLA confirmation or reference number once the transaction is completed. Tax, SORN and keeper records are separate, so a dated confirmation helps show exactly when your responsibility changed.
Sources checked for this answer
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