Europe is considering eliminating VAT on electric cars

Among the measures under study to relaunch the automotive industry in Europe, the VAT suppression for electric cars. Also a Renewal Plan with a 20,000 million euros budget that helps promote the purchase of efficient vehicles and an important boost to recharging infrastructures.

In Brussels they work against the clock in a plan to reduce the consequences of economic crisis derived from the expansion of the coronavirus.

Those responsible have already warned that the automotive industry will have a very important weight in the measures, for several reasons: first, because it has been one of the sectors most affected by the stoppage of business activity; second, because it is one of the activities that provides the most value.

Boost to greener auto industry

The Bloomberg news agency has had access to some of the measures under study in Europe. They all have one point in common: boosting the auto industry, yes; but placing alternative energies in general, and electric mobility, in particular in the first place.

These are some of the proposals that are on the table:

• incentives for manufacturers to produce and sell cleaner cars
• a plan to incentivize investment in recharging infrastructures for electric vehicles. This includes measures such as doubling the EU’s investment package in charging points in order to build two million public electricity stations by 2025
• a Renove Plan at European Union level endowed with 20,000 million euros in the next two years with the aim of promoting the purchase of efficient vehicles
• a clean vehicle fund of between 40,000 and 60,000 million euros whose purpose would be to accelerate investment in zero emission car manufacturing systems
• Eliminate VAT for electric cars

Source Credit – checkersaga