Yes and no... it doesn't have to be "sent off", you can get it changed at your local DVLA office (plenty scaterred around the country)... I did it when I purchased an Escort that was "tax free"... just took the apropriate forms, insurance and money and got a new tax disk within the appropriate band... the V5 then comes to you showing the new tax band...
Look it up on the direct gov site, it tells you what to do.
BTW the Post Office can do it the other way... i.e. taxable to tax free, but can't do it the other way!
Edited by b308 on 18/04/2010 at 17:36
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