The surcharge on motor vehicle tax rose by nearly 10 percent in 2008. Since 2000 it has risen by an average 7 percent per year. The total revenues from the surcharge nearly doubled in this period.
Revenues from motor vehicle tax surcharge
Main source of income for provinces
Generating 1.3 billion euro, the surcharge is the main source of tax income for provinces. They use it to finance spending on nature and recreational facilities and road maintenance.
The provinces set the rate of the surcharge themselves, based on spending foreseen in the coming year and the amounts of their financial reserves. Clear differences can be seen between the development in surcharges between the provinces.
Vehicles cost an average 15 euro more in tax
Vehicle owners paid an average 168 euro on motor vehicle tax surcharge in 2008. This is over 15 euro more than in 2007. In the amount rose by most in South-Holland: nearly 33 euro. The province wants to use the extra money to fund integral accessibility. In Friesland, Flevoland and Drenthe, too, the surcharge has risen by more than average.
The strong increase in the surcharge means that South-Holland is the most expensive province to own a car or motorcycle, with an average surcharge of 192 euro in 2008. Gelderland – which had the highest surcharge last year – is now the second most expensive province, with 182 euro. In Drenthe, Friesland, Limburg and Utrecht, too, car and motorcycle owners pay more than average.
Average increase in road vehicle surcharge, 2008 compared with 2007