Other Countries
Similar taxes are in place are the Netherlands which has the BPM (Belasting Personenauto’s Motorrijwielen) tax. This tax is 45% of the selling price of the car and gives a discount or punishment based on the CO2 emission. The tax is supposed to disappear by 2018, but the government has said it would introduce a similar tax but then solely based on CO2 emissions.
Finland also operates a system which charges a separate vehicle tax in addition to VAT. This system has also attracted controversy. This due to a heavy car tax. Finnish cars are the oldest in Europe and the death rate is highest in Scandinavia. The government also saturates the writing of car taxes. The system is illegal in the EU.
Denmark has the heaviest vehicle tax in Europe (the second heaviest in the world after Singapore). The tax is 105% of the first €8000,- (ca.) and 180% of the rest. The tax is calculated after the VAT (25%), so it's also double taxing.
Other European countries which have registration tax: Austria, Portugal, Greece, Norway (heavy, similar to Denmark) and Iceland.
Read more about this topic: Vehicle Registration Tax (Ireland)
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