Local view for "http://purl.org/linkedpolitics/eu/plenary/2006-09-05-Speech-2-148"
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"en.20060905.19.2-148"2
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".
VRT for Ireland is a national tax and setting the rate of taxation is therefore a national competence. The Irish rate of VRT has been sanctioned under EU law. It is not the right of Ireland or any other Member State or indeed the Commission to decide upon the tax policy of Member States.
This report suggests that the abolition of VRT will be good for the Irish consumer. This is not strictly true. Ireland gains EUR 1.15 billion from VRT. If it abolished VRT Irish motorists would have to bear the costs of its abolition by paying a 20 cent increase in the price of petrol or diesel, or an increase from EUR 400 to EUR 900 in their annual motor tax. I do not believe this would be in the interest of Irish motorists.
I can see the benefits of introducing tax incentives to motorists to purchase vehicles with reduced CO2 emissions and improved fuel efficiency. However, it should be up to each Member State to decide how this should be done. Preserving the flexibility of Member States to decide what taxes to apply and at what rates is vital in achieving the social and economic objective of a country."@en1
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