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721.8 kB - Poledna | Boss | Kurer

721.8 kB - Poledna | Boss | Kurer

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NEWS ROUND-UP: ENVIRONMENTAL TAXESISSUE 30 | JUNE 6, 2013European Commission RecommendsCar Tax For EstoniaEstonia has again dismissed a recommendationfrom the European Commission that the countryintroduce a car tax and/or higher excise duties onmotor fuels, as an environment incentive to improveenergy efficiency.complemented by more binding expenditure targets;better-targeted labor market policies; makingeducation and training more relevant to the labormarket; and local government reform to ensure thatthe whole population has access to services such aschild care, family support services, healthcare, education,and transport.Instead, according the Finance Ministry, the governmentintends to remain focused on existingmeasures, such as an electric car program. Whenthe EC recommended a vehicle tax last year, FinanceMinister Jürgen Ligi told the media thatthe government did not want to put extra burdenson car owners, and that to do so would be "regionallypainful."The EC's recommendation was published in adocument responding to Estonia's 2013 stabilityprogram for the period 2012-17 and the country's2013 national reform program. It forms one of fivecountry specific recommendations (CSRs) in relationto the EC's Europe 2020 strategy for growthand jobs.The EC notes that Estonia has made some progressin meeting CSRs for 2012, in particular by limitingthe budget deficit to 0.3 percent of GDP, but thatsome reforms efforts "appear insufficient." As wellas introducing the tax, the EC recommends implementingthe structural budget balance rule in theTreaty on Stability, Coordination and Governance,Brussels ChallengesBritish Yacht Fuel Tax BreaksTh e European Commission has formally requestedthat the United Kingdom amend its legislationto ensure that owners of private pleasure boats,such as luxury yachts, can no longer buy lowertaxed fuel intended for fishing boats, known inthe UK as "red diesel."Under European Union rules on fiscal marking forfuels, fuel benefiting from a reduced tax rate hasto be marked by colored dye. In the United Kingdom,red diesel – so-called as it is marked with reddye – attracts a duty rate up to 40 percent lowerand may be used only in the farming, fishing andforestry industries.EU rules stipulate however that while fishing vesselsmay benefit from fuel subject to a lower tax rate,private boats must use fuel subject to the standardrate. The UK was allowed to offer the concessionto pleasure boating until 2006 when a transitionalperiod ended.69

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