“Tax of horror” on internal combustion cars. We explain how it really is

“A small summary of the tax on old cars that are often seen on Polish roads. Kia Picanto 1.1 tax PLN 779 – value approximately PLN 7,000. Passat B5 1.9 TDI tax PLN 3,159 – value approximately PLN 8,000 Audi A6 2.5 TDI tax PLN 7,469 – value approximately PLN 12,000,” one of the Internet users warned on the X platform. He made the calculations using a recently popular motor calculator, which calculates the fee based on, among others, engine capacity, exhaust emission standard and date of first registration. Another one, in turn, warned that, for example, an American “classic” from 1960 with a 6.4-liter engine would cost… over PLN 245,000. zloty. It turns out, however, that all these “calculations” are only suitable for trash.

Tax on internal combustion cars. What is going to happen in 2024?

The creators of the motocalculator admit on their website that they created the calculation algorithm based on the draft act of… 2006. . These provisions never entered into force, and the project itself collapsed a year later. The creators of the calculator themselves write that the aim was to “draw public attention to the problem of the upcoming tax on internal combustion cars. The draft law is to be prepared in 2024 and be implemented by the end of that year. If the tax base is minimized by our calculator, it will be worth it.”

Meanwhile, the new levy together with the registration fee are recorded in the KPO as the so-called “milestones”. Indeed, if we count on money from the National Reconstruction Plan, Poland must implement pro-ecological activities, such as a tax on internal combustion cars. What’s the plan? The new registration fee is to appear by the end of 2024, and together with it a one-off tax, the amount of which will depend on the fuel consumption standard (EURO) of a given car. In 2026, this tax would be payable every year. Those who own cars with the oldest emission standards would pay the most. Let us recall that the EU Council adopted a ban on registering combustion cars after 2035.

– We do not plan to increase registration fees for combustion cars. We want to reduce fees and create incentives for low-emission and electric cars, said government spokesman Piotr Müller in June last year. The government, a formation that will most likely leave power soon.

What do we know at this point?

We know for sure that Poland is practically the last European Union country that does not have such a tax. We know that when we pour sewage into a river, we pay fines or have to pay an environmental fee for it. If we throw garbage into the forest, we also pay a fine, and we treat the air as a sewage into which anyone can dump pollutants and pay nothing for it. And that’s why this should change. This is also included in the KPO – if we want to get this money, Poland should introduce such a tax. However, there are no details – it will depend on our country what the shape of this tribute will be. There is no vision in today’s government, or as far as I know among opposition politicians, of what such a tax would look like.

– says Next.gazeta.pl Bartłomiej Derski from WysokieNapiecie.pl.

What should be taken into account when determining the tax amount?

The expert adds that think-tanks that deal with these topics are planning to “somehow try to answer the government” as to what shape such a tribute would take. And, interestingly, he notes that electric cars could also be subject to the new tax.

From my perspective, I would definitely take into account the car’s emissions. Remember that we are dealing with carcinogenic substances that escape from the exhaust pipe of a liquid fuel car. And this is a real problem, because we all bear the costs in the form of shorter lives, diseases, cancers and treatment. I also think that it is worth not only the costs of these direct emissions, but also the costs of carbon dioxide emissions throughout the car’s life cycle. Therefore, I see no reason why electric cars should be completely exempt from such tax. Because at the production stage, such a vehicle emits from 50 to 100 percent. more CO2. Fortunately, this is changing, because the production of batteries for electric cars is becoming more and more green – about half of the emissions come from the battery.

– adds Derski. The expert says that the factor that should be taken into account when it comes to the new tax is the weight of the car. In his opinion, today we are dealing with an “absurd fashion” for large, heavy cars that “take up space in cities”, and the new fee should include, among others: an element that will encourage us to buy smaller and lighter cars.

What is it like in other countries? –

Recently I talked to a friend from Bulgaria and the fees there are really symbolic. In poorer EU countries, these taxes are low, while in richer countries the opposite is true. For example, in Norway, taxes on internal combustion cars are so high that it was practically twice cheaper to buy a Tesla Model S than any of its internal combustion equivalents. I assume that in Poland this tax will be symbolic at first, but will increase over the years, because as a society we value our health and life more and more.

– says Derski.

Internal combustion cars versus “electrics” in Poland

Meanwhile, according to Eurostat data, the largest number of cars over 20 years old are in Poland – as many as 41.3%. 37.1 percent these are 10-20 year old vehicles, and only 5 percent cars are a maximum of two years old. According to data from the end of September 2023, a total of 50,386 passenger and commercial cars (BEVs) were registered in Poland. During the first three quarters of this year, their number increased by 16,971 units, i.e. by 57%. more than in the same period of 2022 – according to , launched by the Polish Automotive Industry Association and the Polish Alternative Fuels Association.