With the government having trouble in collecting public revenue, it decided to introduce a controversial new luxury tax, affecting about 300,000 taxpayers. This new tax, which varies from 660 to 1,320 euros, provides that taxpayers who own vehicles with engines larger than 1.929 liters and under the age of ten must pay a new luxury tax by the end of December.
Unlike previous announcements though, the Ministry of Finances decided to make this tax payable in full, rather than in three monthly installments as was the original plan. The official justification for this move is that if the tax where to be paid in installments, it would have to be included in the taxpayer’s tax return statement. Even then though, delays in submitting said statement could mean that luxury tax must be paid in two or even one installment.
Invoices will not be mailed off this year, rather taxpayers will have to print them off their selves and pay them off at banks or post offices. The relevant government website however has yet to go online. It should be noted that vehicle owners who hand in their vehicle license plates by the end of the year will still be liable for the luxury tax, as it is retroactive and relates to use in 2012 and the 2013 financial year.
