Riigikogu committees agree to amend car tax bill

The Riigikogu's constitutional and finance committees agreed on Monday to not re-adopt the car tax bill without making amendments. The president rejected the law last month.
Constitutional Committee Chairman Hendrik Johannes Terras (Eesti 200) said the group believes the law cannot be re-adopted unchanged. "The president took the view that the provisions of the act did not comply with the principle of equal treatment. We consider his position to be well-founded and that the law should be amended," he told ERR.
Annely Akkermann (Reform), chairman of the Finance Committee, said MPs decided not to support the adoption of the law in its unchanged form and wants to discuss it in the plenary session as soon as possible. "The decision was taken after discussions with the president's office, the Ministry of Social Affairs and the Ministry of Finance to find a solution to ensure the principle of equal treatment," she said.
The Riigikogu adopted the motor vehicle tax law initiated by the government on June 12.
However, President Alar Karis did not promulgate the law on June 25, finding that its provisions violated the principle of equal treatment.
The Riigikogu's press service said the bill will be discussed again next week.
The law will obligate vehicle owners to pay two new taxes.
The first will have to be paid by owners annually on vehicles registered in the motor register. The tax rate for passenger cars will consist of a base component, a specific CO2 emissions component and a gross weight component.
Secondly, a motor vehicle registration fee will be established which will be paid upon the registration of passenger cars and vans in the motor register.
Buying and owning a car will become between 5 and 15 percent more expensive than they are now.
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Editor: Valner Väino, Helen Wright