"The Riigikogu will not be reconvened [during its summer break] because of the Vehicle Tax Act," Akkermann told Vikerraadio Tuesday when asked whether the parliament could pass the act again this summer.

The MP said that the Riigikogu will take a closer look and the law, which now needs to pass through its second and third readings again, will likely not enter into force from January 1.

According to Akkermann, the Riigikogu Financial Committee will reconvene to discuss, among other things, the car tax law in late August.

The Taxation Act stipulates that laws can enter into force a minimum of six months after they're passed.

Commenting on the president's position that the vehicle tax violates the principle of equal treatment by exempting privately-owned vehicles modified or adapted for use by disabled individuals, but not exempting those disabled individuals' vehicles that do not require adaptation, Akkermann explained that the law was primarily based on vehicles whose modification makes them usable by a very limited group of people and also complicates their future sale.

When asked whether removing such an exemption from the law could be a possible way to amend it, Akkermann responded that, in her opinion, this would be the most direct measure to take into account the president's remark. "But I'm not a lawyer, and we will discuss it in the committee. We will also ask the president's legal advisor what would be the most appropriate and economically reasonable solution," she added.

Akkermann justified why an exception for all disabled individuals could not be made in the law by stating that there are regions in Estonia with a very high proportion of people with special needs, and secondly, there is a risk of abuse of the exemption if multiple cars could be registered in the name of a person with mobility impairments, which would then be used by their relatives. "However, not all disabled people have a car, some do not need modifications and some cannot drive at all. Therefore, we based our approach on vehicle modifications," the MP noted.

She acknowledged that extending any exemptions would make oversight more labor-intensive and thereby increase the costs of tax collection, potentially reducing state revenues.

Reinsalu: Government given last chance to drop unnecessary car tax

The president's decision to veto the motor vehicle tax is a significant blow to the government's misguided policy, and now the government has a final opportunity to abandon its completely unnecessary motor vehicle tax project, announced Urmas Reinsalu, chairman of the opposition Isamaa party.

"Isamaa gathered 20,000 signatures in a petition urging the president not to promulgate the motor vehicle tax. Among other arguments, we highlighted the issue related to disabled people, which the president referenced. There were also several other substantial problems, but the main reason to abandon this tax at the last moment is substantive: this tax places an unreasonable burden on people and the economy," Reinsalu noted.

"I also draw attention to the existing Taxation Act: generally, there must be at least six months between the adoption and the entry into force of a tax law or its amendment. This provision does not apply to tax laws and amendments that have a beneficial effect on the taxpayer," Reinsalu explained. "Today is June 25, and the law was supposed to come into force on January 1, 2025. Therefore, constitutionally, this law cannot be enacted in time, even if the coalition tries to push it through forcefully."

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