The April 2010 Budget has bought about changes to the UK Road Tax system resulting in lower road tax for Honda Jazz drivers. Due to the low CO2 emissions of the Honda Jazz, drivers will pay no road tax for the first year on new GE models and a reduction in rates has been passed on for all Jazz drivers.
The April 2010 budget introduced a new 'Showroom Tax' which effectively replaces the first year of road tax. Cars emitting less than 130g/km of CO2 do not pay road tax in the first year while more polluting cars are hit with a higher first year charge of up to £950. The budget also reduced the price of road tax for the Jazz and other cars in the same low CO2 tax band.
All cars Jazzes are taxed based on CO2 emissions as applied to all cars registered after March 2001 ('Y' reg onwards) instead of the sub-1549cc and above-1549cc engine size bands for older cars. The Jazz also benefits because unlike some rivals, the Jazz's optional automatic transmission is of the CVT (for 2002-2008 models) or 'automated manual' (from 2008) designs which produces much lower CO2 emissions then rivals fitted with traditional torque converters such as the Ford Fiesta, Vauxhall Corsa or VW Polo.
Honda Jazz GD (2002-2008) Road Tax Rates:
1.2 i-DSi 2004-2008: 6 months = £49.50 12 months = £90.00
1.4 i-DSi 2002-2008 (manual & CVT-7 auto): 6 months = £60.50 12 months = £110.00
Honda Jazz GE (2008-on) Road Tax Rates:
1.2 i-VTEC 2008-on: 6 months = £49.50 12 months = £90.00
1.4 i-VTEC 2008-on (manual & I-SHIFT): 6 months = £49.50 12 months = £90.00
No road tax for the first year due CO2 emissions of 130g/km or less
Previous road tax rates for all models were £66.00 for 6 months and £120.00 for 12 months.
Of course, there is a catch: the planned fuel duty increase is to go ahead in stages, with an increase of 1p in October 2010 and again in January 2011 to follow the 1p increase introduced in April 2010. Also, the top-of-the-range Jazz 1.4 i-VTEC EX manual only just qualifies for no road tax in the first year as it's CO2 emissions of 130g/km is right on the cut-off point. So if the boundaries are changed in the future, some new Jazz owners may find themselves paying the Showroom Tax!
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