Wednesday, May 22, 2024

Tax increases on the way – "More cars will become unsellable in Denmark"

There must be an end to the discount on the registration fee for several car types. This could mean that several of them will be impossible to sell in Denmark, says FDM.

People looking at cars may need to act now. At least if it's new and gets some sort of 'electrical' help to move forward. Already from next year, the government is starting to increase taxes on both hybrid and electric cars. The increases in the registration tax are part of the latest political agreement in the area from December 2020. Here, a majority in the Folketinget agreed that tax discounts for cars in Denmark must be put to an end. The phasing out must be done gradually. At FDM, however, it is feared that this will make electric cars unsellable in Denmark. And perhaps as early as 2027. READ ALSO: Because the tax is going up sharply: Now "all" Danes want the same car Here, a jump in the tax of as much as 22 percent compared to the 2023 level awaits. And it will be an expensive pleasure. – All other things being equal, an ID.4 or a Tesla Model Y will become de facto unsellable in 2027. I doubt that anyone will buy them at those prices, said Ilyas Dogru, consumer economist at FDM to Finans back in May. However, Tesla has since lowered the price of several of its cars on its own initiative. Most recently, it happened to the brand's oldest models. Read more about it here.

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