I paid the clamp release fee in the view of appealing it later. I taxed my car. Today I recieved a letter in the post from the DVLA saying my car was spotted at that time without tax and I can settle the matter out of court for £117. Really really quite gutted. Can anyone advise?

Hi, Walked out this morning at around 7:30am to get to work and found my car had been clamped with a no-tax sticker on the windscreen. Through ringing the payment line, dvla and enforcement agency (NSL), it has been clamped due to showing on the system as not being taxed since 10/01/2015. I live on a high street, the car was parked in a marked residential bay on the street with a valid residents permit. I know for a fact it has been taxed throughout this year. Anyway, much confusion later, I see my neighbour and tell him what happened and he says he had a letter in my name come