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Minister: No tax on electric or hybrid cars

Minister of Economic Affairs Jyri Häkämies suggests temporarily lifting taxation on eco-friendly vehicles, which would result in their price falling by over 10,000 euros, writes the provincial daily Keskisuomalainen.

Image: YLE

Häkämies says that vehicle tax and value-added tax (VAT) should be temporarily suspended on electric cars and rechargeable hybrids which have an internal combustion engine in addition to an electric motor.

Keskisuomalainen reports that the proposal is part of a wider clean energy programme that the minister is aiming to present to the government this autumn.

In an interview with the daily, Häkämies said that Parliament’s Committee for the Future seems to support the tax reductions. If electric cars and hybrids were not to be taxed, their price tag would drop by some 10,000 euros.

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