Tax Changes Archives - Auto Global News – Global Car News & Reviews https://autoglobalnews.com/tag/tax-changes/ Daily global EV & car industry news, analysis and in-depth reviews. Mon, 01 Dec 2025 23:14:36 +0000 en-US hourly 1 https://wordpress.org/?v=6.9 Argentine Government Modifies Tax Base for Luxury Vehicles https://autoglobalnews.com/argentine-government-modifies-tax-base-for-luxury-vehicles/ Tue, 02 Dec 2025 22:33:26 +0000 https://autoglobalnews.com/?p=2722 The Argentine government has updated the tax base for internal taxes on automobiles, motorcycles, boats, and aircraft through a resolution published by ARCA. This change affects only high-end vehicles sold in Argentina.

The post Argentine Government Modifies Tax Base for Luxury Vehicles appeared first on Auto Global News – Global Car News & Reviews.

]]> The Argentine government has updated the tax base for internal taxes on automobiles, motorcycles, boats, and aircraft through a resolution published by the Revenue and Customs Control Agency (ARCA). This change affects what is known as the ‘luxury tax,’ impacting only the priciest vehicles sold in Argentina.

Key Takeaways

  • The luxury tax now applies exclusively to high-end vehicles, with a threshold of 74.314.009 pesos for cars and 15.924.979 pesos for motorcycles.
  • The previous dual-tiered tax system has been suspended but remains in place until June 30, 2027.
  • Only vehicles priced at or above 120 million pesos for cars and 25 million pesos for motorcycles will be subject to the current luxury tax rates.

The modification comes after a period where the first tier of internal taxes impacted popular models like Chevrolet Cruze, Peugeot 2008, and Toyota SW4. This initial tier was suspended in January last year, leaving only a second-tier tax with reduced rates.

Under the new system, cars exceeding 74.314.009 pesos will face an 18% tax rate, while motorcycles above 15.924.979 pesos are taxed at 15%. The changes ensure that the luxury tax now focuses on high-end vehicles rather than affecting mainstream models.

The government has been considering eliminating internal taxes for vehicles altogether but no official decision has been made yet. Until then, this new system will remain in effect, impacting only a small segment of the market.

Frequently Asked Questions

When does the suspension of the first-tier tax end?

The current suspension is set to expire on June 30, 2027. After this date, the government will reassess whether to continue with the current system or make further changes.

Which vehicles are exempt from luxury tax?

Vehicles priced below 120 million pesos for cars and 25 million pesos for motorcycles are generally exempt from the luxury tax under the new regulations. This includes most domestically produced models and imported vehicles.

The latest modifications to internal taxes aim to reduce market distortion caused by previous high rates on popular vehicle models, focusing instead on a more targeted application of luxury taxation.

The post Argentine Government Modifies Tax Base for Luxury Vehicles appeared first on Auto Global News – Global Car News & Reviews.

]]> Is It Still Worth Buying an Electric Vehicle Post-Budget? https://autoglobalnews.com/is-it-still-worth-buying-an-electric-vehicle-post-budget/ Sat, 29 Nov 2025 12:04:46 +0000 https://autoglobalnews.com/?p=2026 The new tax of 3p per mile for EVs starting April 2028 doesn't negate the cost savings of owning an electric vehicle.

The post Is It Still Worth Buying an Electric Vehicle Post-Budget? appeared first on Auto Global News – Global Car News & Reviews.

]]> Are you still excited about the idea of driving an electric vehicle (EV) after Chancellor Rachel Reeves announced a new tax in her Budget? The upcoming pay-per-mile charge for EVs might seem like a dampener, but let’s dive into whether it’s worth sticking with your plans to go green. With the introduction of 3p per mile starting April 2028, will this affect your decision?

Key Takeaways

  • The new tax adds 3p per mile for EV drivers from April 2028.
  • An average driver covering 8,000 miles a year will pay around £240 annually due to the charge.
  • Despite this change, EVs are still expected to be cheaper than petrol cars when charged at home.

So, what’s the big deal about this new tax? Well, it’s designed to close the gap between electric and conventional fuel costs. But is that enough to make you reconsider your green choice? Let’s break down the numbers and see if EVs are still worth the investment.

The upfront cost of an EV can be higher than a petrol car, but electricity is cheaper than petrol. For instance, charging at home can save you money compared to filling up at a gas station. With today’s average UK domestic electricity rate at 26p per kWh and petrol prices around £1.37 per litre, driving an electric vehicle costs significantly less.

Even with the new tax, EVs still offer better value for money if you charge them at home. The pay-per-mile charge will add about 3p to your cost, but this is still cheaper than running a petrol car. Auto Express’s analysis shows that a petrol car returning 40 miles per gallon costs around 15.5p per mile, while an EV charged domestically would be around 9.5p per mile.

Moreover, the government plans to abolish the 5p fuel duty cut in 2026, allowing fuel prices to rise with inflation. This means that petrol and diesel cars will become even more expensive over time. So while the new EV tax might seem daunting at first glance, it doesn’t completely negate the benefits of owning an electric vehicle.

Frequently Asked Questions

Will I be charged for driving my EV before April 2028?

No, the new tax will only apply from April 2028 onwards. Until then, there are no changes to how you pay for using your electric vehicle.

How does this affect company car drivers?

The benefits of company car schemes for EVs remain intact. Although the new tax will apply, it doesn’t change the current tax advantages that come with driving an electric vehicle through a company scheme.

In conclusion, while the introduction of the pay-per-mile charge might seem like a setback, it’s clear that owning and running an EV still offers significant benefits over conventional cars. So, if you’re passionate about reducing your carbon footprint and saving money in the long run, going electric is probably still your best bet.

The post Is It Still Worth Buying an Electric Vehicle Post-Budget? appeared first on Auto Global News – Global Car News & Reviews.

]]>