The Italian government plans to launch a subsidy package for the purchase of electric and hybrid vehicles with up to €6,000. At the same time, taxes for the purchase of gasoline and diesel vehicles will increase.
The new measures, which have yet to be confirmed by the lower house, are planned to go into effect on the first of March this year, lasting until the end of 2021.
Vehicles that will be subsidised include electrified vehicles with a list price of up to 50,000 euro. The measures, which were voted on by the parliament as part of the 2019 national budget, include changes made to the originally suggested plan presented in Rome in December. The new measures will not apply the new tax rate to all combustion vehicles, with small family cars being exempt, and the tax rate will only apply to larger vehicles, including SUVs. The sale of combustion vehicles will also be taxed according to their CO2 emissions, with a new tax ranging from 1,000 to 2,000 euros, depending on whether the vehicle fits in the 161 to 175 grams of CO2 per km category, or emits 201 to 250 g/km.
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