NGO Sues Romanian Govt Over Triple Car Tax

Non-governmental organization “The Commissariat for Civil Society” sued the Romanian government for its recent decision to triple the pollution tax on used cars and urged the Bucharest Court of Appeals to annul the decree tripling the tax.

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The organization’s secretary general, Valeriu Samoil, said Friday the court would first discuss the appeal on January 20, 2009, adding, however, the lawsuit might start even sooner following the organization’s recent request in this respect.

The High Council of the Commissariat for Civil Society said the government breached the regulations of article 95 of the Treaty establishing the European Economic Community (EEC) and articles 16, 21 and 44 of the Constitution of Romania, as well as the regulations of the European Union legislation, considering that taxes levied on the basis of regulations of Government Emergency Ordinance 2087 "exceed the residual value of used cars."

Moreover, the officials of the organization requested the European Commission issue an official standpoint on the matter.

"Government Emergency Ordinance 208/2008 breaches the constitutional principle to the detriment of traders and ordinary people who can only afford to buy used cars, compared to those who buy new cars," the organization said.

The organization also urged the court to ascertain the unconstitutionality of Government Emergency Ordinance 208/2008, implicitly thee illegality of this decree, stressing it goes against the community acquis and the treaties ratified by Romania, which are way above the government decree.

Nearly 400 Romanian drivers and car dealers staged protests on Friday against the government’s decision to triple the pollution tax on used cars as of December 15.

The Romanian authorities last week said they would triple the pollution tax to boost new car sales and aid the local auto industry.

The government decree, which became effective on Monday, triggered a series of protests from both buyers and used-cars dealerships.

On Wednesday, the government decided to delay the tax enforcement until December 15 and said car owners who paid the increased tax will get rebates.

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