Car tax discs: are you about to throw away £1,000?

On 1st October 2014, car tax discs will be abolished forever.

Dealers are already making money selling old car tax discs so when the supply of new tax discs dries up their value could rocket!

What do you need to do?

From the 1st October you'll no longer need to display a paper tax in your vehicle (though you'll still need to tax your car).

You can remove it from your windscreen but rather than throw it away, it could be worth keeping hold of your old car tax discs as they could be worth a tidy sum in the not to distant future.

For every vehicle tax renewal or purchase after the 1st October, 2014 you won't be sent a paper tax disc.

Can you really sell your old tax disc?

Much like old coins or stamps, paper tax discs will have a place in history and will become a collectible over time. So it's worth keeping your old tax disc and storing it somewhere safe and away from damage.

Many trade experts already sell old tax discs today, but with no new tax discs being produced from October, the value of existing discs is expected to climb.

Which tax discs will be worth the most?

Any damage to your tax disc will unfortunately offer you less in return.

Tony Hill, author of Trade and Collect Tax Discs, maintains a collection of tax discs dating back to when they were first issued in 1921 and believes that most collectors will only pay for a tax disc in perfect condition.

Watch out for non-perforated tax discs

If you have applied for a tax disc recently and been fortunate enough to get a non-perforated tax disc (the DVLA ran out of perforated paper) then you could stand to earn more money in the future.

Non-perforated tax discs will be seen as a rare collectible, and when kept in a perfect condition could fetch you the highest value with a dealer down the line.

With values of anywhere up to £1,000 for your old car tax disc, it's worth thinking twice before throwing out something the DVLA don't need you to use anymore.