Legislative changes will also affect the tax on motor vehicles

On 27 November 2024, an amendment to the Motor Vehicle Tax Act was approved, which, starting from 1 January 2025, abolishes the reduction of the annual rate in the first 9 years from the first registration of a vehicle. Instead, a standard tax rate will be set for vehicles, which will gradually increase by 10% every three years. This increase in the tax rate at 3-year intervals will continue until the value of the increase of 50% is reached.

At the same time, the 50% reduction in the already adjusted annual tax rate will only apply to hybrid, compressed (CNG) or liquefied natural gas (LNG) or hydrogen-powered motor vehicles.

The new tax rates and the adjustment of the annual rate will only be applied in the tax return for the 2025 tax period. However, the change in legislation will also affect the tax return for 2024, as the calculation of tax advances for 2025 will already follow the new rules for determining the tax rate.