EU Plans to Narrow Differences in Diesel Consumption Taxes among Member States

The European Commission proposed on the 13th to gradually narrow the differences in consumption taxes levied on diesel for trucks among member states to prevent drivers from detouring to countries with low tax rates to reduce costs and cause unnecessary environmental damage.

Kovács Laszlo, the European Commission Commissioner responsible for tax and customs union, said that such deliberate detours caused by large differences in tax rates between countries not only distort competition in the EU freight market, but are also detrimental to the control of greenhouse gas emissions. .

At present, diesel consumption tax accounts for a large share of the freight business costs of EU companies, about 18%. Therefore, many drivers often choose to go further in order to save costs when engaging in long-distance transportation, and choose to pass by with lower diesel consumption tax rates. countries, not only are they traveling in vain, but they are also causing unnecessary exhaust emissions.

According to statistics, within the original 25 countries of the European Union, carbon dioxide emissions generated by the freight industry accounted for 19.3% of the total emissions.

According to the recommendations of the European Commission, each member state will have greater freedom to widen the tax gap between commercial diesel and non-commercial diesel. From now on, the tax rate on commercial diesel can be reduced, but it shall not be lower than the lower limit set by the EU.

The European Commission also proposed to increase the lower limit of diesel consumption tax in two steps from the current 302 euros per 1,000 liters to 359 euros, and then to 380 euros in 2014. The European Commission believes that this move will help maintain competition and promote environmental protection.