Romania Reduces Pollution Tax By A Third

by Ulrika Lomas, Tax-News.com, Brussels

23 February 2009

Prime Minister Emil Boc announced on February 18, that the Romanian government has reduced its new pollution levy by a third, just two months after its imposition, adding that people who purchased prior to December 15, and have subsequently been paying the new tax will be eligible for rebates, and until July 2009 will be charged the pre-December 15 rate.

In a statement, Emil Boc said:

“We have cut the car pollution tax by a third. Secondly, we have clarified the situation on cars purchased before December 15 2008 which, under today’s ordinance, can be further registered on the basis of the old law, until July, to the tax amount of that time. If they registered their car meanwhile, they will receive the tax difference they paid.”

The amendments announced this month are in response to discussions with the European Commission, who claimed that the Romanian government's tripling of the car tax breached EU laws.

The decision will come into effect as soon as it is published in the Official Journal.

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