Italy suspends vehicle tax for small vehicles for a year

Dusseldorf. In view of the high fuel prices, the government in Italy is largely waiving vehicle tax for a year. The government of Prime Minister Giorgia Meloni decided in Rome not to levy a tax on all cars with an output of less than 80 kilowatts in 2027. The regulation also applies to all motorcycles and scooters that are widely used in Italy. According to official information, this includes a total of around 14.5 million vehicles.

However, each owner can only claim one vehicle: the regulation does not apply to larger cars or second or third cars. The relief should also automatically apply to the vehicle with the lowest performance. A car with an output of 80 kilowatts usually has an engine of around 110 horsepower. According to the government, the suspension of vehicle tax is primarily intended to provide financial relief for families.

Meloni, who has been in power for nearly four years as leader of the right-wing Fratelli d'Italia (Brothers of Italy) party, described the car tax (in Italian: bollo auto) as "one of the most hated taxes" in the country. Her right-wing coalition represents the latest decision as part of a series of tax cuts. There have been indications from the left-wing opposition that a new parliament will most likely be elected in Italy next year.