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Germany Examines EU Energy Tax Harmonisation

by Ulrika Lomas, Tax-News.com, Brussels

04 October 2004

According to reports, the German government is studying a proposal to harmonise energy taxes across the European Union.

Finance Ministry spokesman Stefan Giffeler was quoted as observing on Friday that the myriad of different levies placed on fuel in the EU's member states needs to be ironed out in a bid to stop “tank tourism”, where drivers take their cars across national borders to fill up on cheap petrol.

Giffeler told the German daily Sueddeutsche Zeitung that this situation “is economically counterproductive and pays alimonies to state budgets of neighbouring countries to the disadvantage of Germany."

Giffeler added that the study being conducted into the matter was a long term project, and explained that the government has not yet finalised any detailed proposals.

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