Germany agrees diesel filter tax breaks

Coalition parties finally agree details of revenue neutral incentives to help cut particle emissions

The German cabinet on Wednesday finally agreed tax incentives for particle filters on existing diesel cars, after lengthy delays (EED 22/11/06).  Owners fitting a filter from 1 January 2006 will pay €330 less in annual motor tax.  Non-equipped vehicles will pay around €20 extra.  Filters must cut emissions to 5 milligrams per kilometre, the planned EU legal standard for new cars from around 2008.  The law will enter force in April 2007 after parliamentary approval.  See press releases from the Germany environment ministry, environmental group DUH, and the German green party.

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