Good afternoon and welcome to today's webchat. We're joined in the studio by Sue White from the DVLA.

David starts us off and wants to know:

How will the new system work?

Sue White said:

Basically the system now offers the customer a choice. They can go to the Post Office or they can go to the website or they can use the telephone. In order to use the telephone or website service the customer either needs to have a car that is under three years old or they will need a computerised MOT.

Julie wants to know:

Where can I do this online? Or what is the telephone number? What information do I need?

Sue White said:

The web link is www.direct.gov.uk/taxdisc or call 0870 850 4444. You either need a reference number off your tax disc renewal form or your vehicle registration mark and the reference off your V5C (formerly the log book).

Stuey C wants to know:

Hi there, so how will the DVLA ensure that cars are MOTD and have insurance at the time of taxing?

Sue White said:

If your vehicle requires an MOT, to use the service this will need to be computerised. From March 2006 all MOT's issued on the UK mainland will be computerised. For the insurance details, we will check the motor insurance data base to ensure the vehicle has insurance.

Tricia joins us from Newcastle and wants to know:

If the insurance and tax are due within a few days (6) of each other can you still renew the tax online?

Sue White said:

If they run out on the same day, then it's unlikely that you would be able to use the system at present. Other than that it's down to your insurance company on how fast they update the motor insurance database. The insurance companies have up to 14 days to update and this time is reducing.

George who wants to know:

How do you pay? Also what happens if you're late paying?

Sue White said:

You can pay by debit or credit card. If your vehicle is unlicensed you should not be using it on a public road. If there is a gap in the licence dates of more than one month and you have not declared your vehicle off the road, then you should not be using the electronic service.

Derry Staples has a good question:

Will we get an automated message/email to remind us that the car tax is due?

Sue White said:

Not at the moment. But you will still get a renewal letter.

Charles Harbud wants to know:

Taxing a car online is a great idea but why charge an extra £2.50 for the privilege? This is not the way to encourage people to use this service.

Sue White said:

This is a charge that is passed on to us from the credit card companies. Sorry! You can use a debit card and there is no charge for this.

Eric wants to know:

Lots of people have been using the internet for online shopping etc for ages, why has it taken so long for this to come about?

Sue White said:

It is a large and complex development, which has required substantial testing. It was also essential for MOT computerisation to be rolled out first.

Lily wants to know:

Will the Post Office lose out as a result of this change in car taxing methods?

Sue White said:

The system has been developed in response to customer demand. We work very closely with the Post Office and customers are still able to take advantage of the Post Office facilities.

Peter Balcombe wants to know:

One of my cars is a historic vehicle and exempt from tax. Will I be able to "tax" that on line?

Sue White said:

Yes you can, over a thousand vehicles that fall into this category have already used the online facility.

Crazy Paul wants to know:

Are you worried about fraudulent car taxing?

Sue White said:

As the system is now computerised, it should reduce fraud.

Charles Arrowsmith wants to know:

If we do this online, what do we display in lieu of tax disc to show we have paid?

Sue White said:

When using the service you should allow sufficient time for the tax disc to arrive in the post and that's around 3 - 5 days.

And Mikey has a question about tax delivery:

Does the new tax disc come registered delivery for safety?

Sue White said:

It arrives first class post.

Ten minutes to go - please keep your questions coming in - Lloyd has one:

Will details about the new service be more widely publicised? There doesn't seem to be anything about it on the DVLA website at all.

Sue White said:

There is currently information on the DVLA website. Although most of our promotion is done through www.direct.gov.uk (motoring section)

Sarah wants to know:

How long does it take to do this car tax online? Is it really that much quicker?

Sue White said:

It takes about 2 - 3 minutes if you do it online or around 4 minutes on the phone.

Cathy wants to know:

What about people who don't want to use the Electronic service?

Sue White said:

That's easy, you can still go to the Post Office.

Louisa Dean wants to know:

Are you planning to launch other DVLA services online including car registration?

Sue White said:

You can also do an off-road notification online (SORN) and there will be additional services coming online in 2006 and beyond.

Although Sue answered this question at the beginning of the chat so many of you are asking the same question it's worth asking again:

Emma and sue want to know:

How would one present MOT AND INSURANCE CERTIFICATES or would this be done by the respective issuing bodies garage/insurance company?

Sue White said:

Unlike the Post Office you won't need to show us the physical paper work. As the system is computerised we check electronically that everything is in place.

Mr P.Celecia wants Sue to remind everyone of how you go about using the new system, he asks:

How do I register to tax my car on line or by phone?

Sue White said:

You don't need to pre-register; you should receive an invitation when your tax is due. The website is at www.direct.gov.uk/taxdisc or you can telephone 0870 850 4444.

Many thanks to all of you for joining us this afternoon, the last one is not a question but some feedback from a happy user:

William Mack:

Not a question but a complement. I have taxed my car online for the 1st March 2006 and the system works fine. Thank you.

Sue White said:

Thanks very much and thanks for joining us and learning about the new system.