This study, commissioned by the Institute for Fiscal Studies (IEF) (Ministry of Finance), aimed to determine the economic and environmental effects of the reform of the vehicle registration tax that took place in Spain in 2007. Since this reform, the tax rate became dependent on CO2 emissions.
The effects on the sales of different types of vehicles with different emission levels were estimated using econometric techniques. From this, some proposals to improve the tax and its performance in terms of emissions reduction targets were done.
ENT environment & management
Funded by Instituto de Estudios Fiscales