Friday, May 24, 2024

Iceland introduces a special tax only electric car owners have to pay

Since the turn of the year, electric car owners in Iceland have dug into their pockets to pay a special kilometer-based tax. Certain hybrid cars are penalized in the same way.

Here at home, electric cars are almost protected. A political agreement last year extended the car type's tax exemption in the vast majority of cases. At the same time, the periodic fee is very low.

Then it immediately looks different in Iceland. Since the turn of the year, Icelandic electric car owners have paid 6 Icelandic kroner, corresponding to 0.30 øre per vehicle. kilometer.

All the while, plug-in hybrids can avoid paying 2 Icelandic kroner – 0.10 Danish kroner – kroner per kilometers on Iceland's 13,000 kilometer long road network.

This is written by the Icelandic RUV .

READ ALSO: New Volvo EX30 is so flawed that Martin had to cheat it

Based on Icelanders' average traffic needs, it is expected that the new tax will bring in 7,000 Icelandic kroner – 347 Danish kroner – per month.

Iceland's government says the tax is being introduced because of the growing number of electric cars in the country. This has led to a drop in income from diesel and petrol cars. Money that has otherwise been spent on e.g. to maintain the country's roads.

Here at home, it is primarily the lorries that have to pay a kilometer-based toll. The government expects an average price of DKK 1.30 per short kilometer.

Despite major protests from both the business community, truckers and drivers, the responsible minister refuses to withdraw the law. On the contrary, Tax Minister Jeppe Buus (S) is 'proud of the scheme'. Read more about it here .

A special toll may also be on the way in the direction of passenger cars. In any case, the first Danish city will introduce what the then social democratic government had to drop in 2012. Read more about it here.

Back in Iceland, the government expects to introduce a similar tax for petrol and diesel cars as early as next year. The government estimates that it will be a good 160,000 Icelandic kroner more expensive to drive a diesel/petrol car in the country than an electric car. This corresponds to just under 8,000 Danish kroner.

Read more exciting news from and about the world of cars right here

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