Search Results

You are looking at 1 - 6 of 6 items for :

  • "one-off registration tax" x
Clear All
International Monetary Fund. European Dept.

) was around 525,000 NOK and 485,000, respectively. Electric Vehicles and Household Income Tax Incentives 9. The purchase of EVs is incentivized through VAT exemptions and the design of one-off registration taxes . EVs are exempt from VAT, whereas conventional cars are taxed at the standard rate of 25 percent. The implicit total cost of the VAT exemptions in 2019, calculated as the product of the number of new EVs, the average price of new EVs and 25 percent, totaled 0.26 percent of mainland GDP. Conventional cars are also subject to one-off

Youssouf Camara, Bjart Holtsmark, and Florian Misch

and comes with several caveats. We ignore the one-off registration taxes because they have a strong green component and other incentives which depend on usage of EVs, so that implicitly, we attribute the emission savings to the VAT exemptions; the estimated cost per tCO2 saved is hence a lower bound. We also ignore the possibility that in the absence of the VAT exemption, households may opt for a cheaper conventional car, costs due distortions from car taxation in Norway, and any other indirect costs or benefits. In this paper, we do not estimate the causal effects

Youssouf Camara, Bjart Holtsmark, and Florian Misch
This paper empirically estimates the effects of electric vehicles (EVs) on passenger car emissions to inform the design of policies that encourage EV purchases in Norway. We use exceptionally rich data on the universe of cars and households from Norway, which has a very high share of EVs, thanks to generous tax incentives and other policies. Our estimates suggest that household-level emission savings from the purchase of additional EVs are limited, resulting in high implicit abatement costs of Norway’s tax incentives relative to emission savings. However, the estimated emission savings are much larger if EVs replace the dirtiest cars. Norway’s experience may also help inform similar policies in other countries as they ramp up their own national climate mitigation strategies.
Ruud A. de Mooij, Dinar Prihardini, and Mr. Emil Stavrev
Luxembourg receives ample investment from multinational corporations, in part due to some attractive features in its international tax rules. Around 95 percent of these foreign investments pass through Luxembourg via companies performing holding and/or intra-group financing activities. While their contribution to Luxembourg’s economy is modest relative to their large overall balance sheets, they still generate around 3 percent of GDP in tax revenue, create almost 4500 direct jobs, and spend almost 3 percent of GDP on salaries and purchases of business services. Ongoing changes in the international corporate tax framework pose risks to these economic contributions, which this paper attempts to quantify. It also discusses options for reforms in Luxembourg’s tax system that could help offset adverse revenue and economic effects.
Ruud A. de Mooij, Dinar Prihardini, and Mr. Emil Stavrev

passenger car ( Figure 18 ). For example, Germany levies an annual tax of EUR 246 on the same car. In addition, while 20 countries in Europe have a one-off registration tax that is linked to CO2 emissions, Luxembourg has a flat registration fee of only 50 euros. The low level of taxation of private vehicles may have contributed to higher CO2 emissions for newly registered cars (131.4 gCO2/km in Luxembourg compared to a European average of 120.6 gCO2/km) and explain a relatively high rate of vehicle ownership. Changing the recurrent motor vehicle tax to lower the threshold