How much are the road tax rebates

If you have a petrol/hybrid vehicle, you’re eligible for road tax rebates from 1 August 2021 to 31 July 2022.

Type of vehicleRoad tax rebate
Private cars15%
Taxis/private-hire cars15%
Motorcycles60%
Commercial vehicles100%

The road tax rebate is meant to compensate for the hike in petrol duties announced during Budget 2021. So don’t celebrate just yet — you might save on road tax but end up paying more on petrol (unless you radically change your commuting habits).

In addition to road tax rebate, active taxi and private hire drivers will receive$360 in petrol duty rebates, disbursed over 4 months this year.

Motorcyclists will also get either $80 (200cc or below engine capacity) or $50 (201 to 400cc engine capacity) in petrol duty rebates in May, either via PayNow or GIRO.

When does your road tax expire?

Each time you renew your road tax, you can choose to do so for a period of 6 or 12 months. Your road tax will expire at the end of the 6- or 12-month period.

Your road tax expiry date will be printed on the road tax disc mailed to you by the LTA.

When can you renew your road tax?

Thinking of renewing your road tax for a few years at a time to save yourself some admin work? Unfortunately, you cannot just renew your road tax whenever you feel like it. You can only renew road tax when it expires.

Renewal of road tax can be done up to 3 months before it expires. You will receive a reminder letter from the LTA one month before your road tax expires reminding you to renew it.

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You must also fulfil certain prerequisites before paying your road tax, which are covered below.

What must you do before paying road tax?

Before the LTA will accept your attempts to pay your road tax, there are certain prerequisites that must be met, namely the following:

  • Car insurance: Your vehicle must be insured for the period of road tax
  • Vehicle inspection: You must have passed any upcoming vehicle inspection
  • Fines: You must clear any outstanding fines

You should fulfil all the above requirements at least three working days before you wish to pay your road tax as the system takes some time to update. If the system cannot be updated in time, you might get an error message when you try to pay your road tax online.

For car insurance, you need not renew with the same provider every year.

As for vehicle inspections, these are typically required when the car reaches three years of age, and are subsequently required every two years until the car reaches the age of 10. After age 10, they must be inspected yearly. (You will receive a letter from the LTA whenever an inspection is due.)

Try not to go for your vehicle inspection at the last minute in case you fail and have to go back another day, as this could cause you to be late in paying your road tax.