The car tax has the greatest impact on people living in the countryside, because it is often essential to have two cars in the family, which are more powerful than average due to the difficult road conditions, commented Andrei Korobeinik, the vice-chairman of the Center Party faction, on the motor vehicle tax bill, which will have its first reading in the Riigikogu today.
“People living in the countryside are more dependent on the car than city dwellers. Longer distances, limited public transport options that have become paid for this year, and sparsely populated areas make owning a car essential. Therefore, the car tax affects the residents of rural areas more, since the car is considered the main means of transport,” he said Andrei Korobeinik.
The MP elected from Pärnu County pointed out that income in rural areas is generally lower and more unstable than in cities, and a car is used for commuting to work and for carrying out activities necessary for life. “Shops, medical care and educational institutions are often far from home, and this increases the need for personal transportation. If owning a car becomes more expensive, it can affect the availability of services and people’s everyday life,” said Andrei Korobeinik.
According to Andrei Korobeinik, the introduction of car tax in the conditions of more than two years of economic recession increases social inequality and worsens the financial burden of people who are already in a difficult situation. “The government led by the Reform Party collects 236 million euros in the state budget with the car tax, and if you divide this amount by the number of car owners (478,139), the annual average tax burden for a car owner is 493 euros and 58 cents. Instead of the car tax, a temporary bank tax should be introduced, with the help of which 500 million euros could be brought into the state budget with little effort,” said the member of the board of the Center Party.
