Editing Transport economics (section)

==Car taxation==
Car taxation is an instrument to influence the purchase decisions of consumers. Taxes can be differentiated to support the market introduction of fuel efficient and low [[carbon dioxide]] (CO<sub>2</sub>) emitting cars.

The European Union Commission has made a proposal for a Council Directive on passenger car taxation which is currently before the Council and Parliament.<ref>[http://ec.europa.eu/governance/impact/docs/ia_2005_2/COM_2005_0261_F_EN.pdf COM(2005) 261, Proposal for a COUNCIL DIRECTIVE on passenger car related taxes, presented by the Commission]{{Dead link|date=July 2018 |bot=InternetArchiveBot |fix-attempted=no }}</ref>

The Commission encourages again Member States to adopt this proposal as soon as possible and to adapt their car taxation policies so as to promote the purchase of fuel efficient cars throughout the EU and help manufacturers respect the upcoming fuel efficiency framework, thus contributing their share to reducing the CO<sub>2</sub> emissions of cars. Taxes differentiated over the whole range of cars on the market, so as to gradually induce a switch towards less emitting cars, would be an efficient way to reduce compliance costs for manufacturers.

===Tax rates on acquisition===

In 2011, for a brand new [[Volkswagen Golf#Sixth generation (Mk6/A6, Typ 5K; 2008)|VW Golf]] Trendline (80 [[Pferdestärke#Metric horsepower .28PS.2C cv.2C hk.2C pk.2C ks.2C ch.29|PS]], 5G 2T) the taxation rate (all inclusive, i.e. VAT+registration tax+any other taxes) on acquisition was as follows:<ref name=euReport>{{cite journal|last=Commission|first=European|title=Car prices within the European Union|journal=Autopreise in der Europäischen Union Am ... = Car Prices within the European Union = Prix des Voitures Au Sein de l'Union Européenne|date=1 January 2011|pages=212|doi=10.2763/50581|url=http://ec.europa.eu/competition/sectors/motor_vehicles/prices/2011_07_full.pdf|access-date=15 December 2013|publisher=European Union|location=Brussels|isbn=9789279201363|language=BG, ES, CS, DA, DE, ET, EL, EN, FR, IT, LV, LT, HU, MT, NL, PL, PT, RO, SK, SL, FI, SV|issn=1725-9991}}</ref>

{| class="wikitable sortable"
|-
! Country!!After tax (in €)!!Before tax (in €)!!Taxation rate (%)
|-
| Denmark||28267||11629||143.07
|-
| Finland||18000||11795||52.61
|-
| Netherlands||19543||13191||48.15
|-
| Ireland||18036||12712||41.88
|-
| Sweden||18576||14299||29.91
|-
| Latvia||14352||11292||27.1
|-
| Austria||17995||14202||26.71
|-
| Lithuania||14024||11292||24.19
|-
| Romania||14419||11628||24
|-
| Poland||14215||11557||23
|-
| Italy||17379||14141||22.9
|-
| Spain||17415||14187||22.75
|-
| Hungary||16918||13790||22.68
|-
| Cyprus||15292||12586||21.5
|-
| Belgium||17754||14673||21
|-
| Czech Rep.||14059||11715||20.01
|-
| Bulgaria||14347||11956||20
|-
| United Kingdom||17078||14232||20
|-
| Slovenia||15274||12729||19.99
|-
| France||15478||12942||19.6
|-
| Germany||16825||14139||19
|-
| Luxembourg||15300||13305||14.99
|-
| Greece||N/A||N/A||N/A
|-
| Malta||N/A||N/A||N/A
|-
| Portugal||N/A||N/A||N/A
|-
| Slovakia||N/A||N/A||N/A
|-
| Estonia||N/A||N/A||N/A
|}