Romanian Govt Ups Pollution Tax For Used Cars

The bonus was increased from 3,000 lei (EUR1 = RON3.8431) to RON3,800 for 60,000 cars estimated to be put out of use, with the total budget allocated to this program reaching RON228 million, said the quoted sources.

 

The car tax was amended on July 1, 2008, with the new format involving a higher sum for new cars, but a value significantly lower for used cars. After the change of the car tax, new car sales began to drop while second hand car sales soared.

 

The number of imported used car registrations doubled in the first ten months, compared to the same period of the previous year, to 205,086 units, while new car registrations dropped by 2.4%, for the same interval, to 252,935 cars.

 

Approximately three weeks ago, the Government decided to issue an emergency ordinance suspending the collection of the pollution tax for cars starting with December 1, 2008 until the end of December 2009, for Euro 4 cars with engines of up to 2,000 cubic centimeters registered for the first time in Romania and in the European Union.

 

Lacking a reply from the European Commission, the coming into force of the suspension will be postponed until December 15 or until the ordinance is published in the Official Gazette.