Registration fee for vans and large family cars to fall fourfold
Starting next year, registration fees for minibuses and large family cars will be based on N-category vehicle rates, significantly lowering the cost.
Currently, minibuses and vans with eight or nine seats are taxed under M-category rates, which are significantly higher than those for N-category vehicles. Since the usage of these vehicles is largely similar, applying the same registration fee structure as for N-category vehicles is considered justified.
The registration fee for a typical newly registered vehicle would drop from around €2,200 to €530 — close to the N-category minimum.
"This is a practical change that will reduce registration fees for many families and people with disabilities, for whom a larger vehicle is essential for mobility," said Ministry of Finance Deputy Secretary General Evelyn Liivamägi.
A corresponding amendment that would apply N-category rates to the annual motor vehicle tax for such vehicles is already under consideration in the Riigikogu.
As a result of the change, state budget revenues could fall by up to €1 million annually, but the adjustment would better reflect the vehicles' actual use and reduce the tax burden.
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Editor: Urmet Kook, Marcus Turovski
