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Politics: Eco-friendly cars should become cheaper
The federal government would like to give tax advantages to electric cars, hybrid models and low-CO2 cars in the future. High-emission models are expected to become noticeably more expensive.
Politics: Eco-friendly cars should become cheaper
Finance Minister Hartwig Löger is submitting innovations for vehicle taxation for review as part of the tax reform. Specifically, the aim is to provide tax relief for more environmentally friendly car models, both in terms of the NoVA and the annual insurance tax. At the same time, the CO2-Sinners (strong, heavy cars with high consumption) are taxed and charged more heavily. The trick is intended to make the reform “revenue-neutral”. "As part of the tax reform, we are also taking targeted measures for the environment. Our central concern is to introduce incentives for environmentally friendly behavior instead of new bans. For example, environmentally friendly cars are becoming cheaper. Ultimately, both taxpayers and the environment benefit," Finance Minister Löger is quoted by the Kurier.
When it comes to insurance tax, a second component should be included in the calculation in addition to engine performance. This can save up to 250 euros per year, while eco-sinner models could be up to 1,673 euros more expensive per year. The NoVA should also be adjusted accordingly. The discounts could be up to 233 euros and the inflation could be around 2,670 euros.
The changes to insurance tax and NoVA should only apply to new registrations from 2020. Existing vehicles should not be affected by the changes.