Ecuador: Luxury Cars Get Environmental Tax Up to $1,248 Per Year

According to Andes.info.ec a new Tax Reform Pro Heath proposal includes a maximum environmental tax on luxury vehicles of $1,248 per year. Reportedly, this number is four times smaller than the $5,200 figure mentioned a month ago. The tax applies to vehicles that have a motor larger than 3,000 cubic centimeters. Vehicles with motors between 1,501 and 1,600 cubic centimeters will pay $20 per tax. The director of the Ecuadorian Internal Revenue Service says electric vehicles will have no tax and that the proposal is good. President Rafael Correa says the proposal includes an amendment to the Value Added tax and environmental taxes on non-returnable plastic bottles, cigarettes and alcoholic beverages. The government is hoping the reforms will save $400 million, which will be used to restructure public health and environmental projects.Read Article