One of the European nations pioneering widespread electric vehicle (EV) adoption is Norway, though new regulation changes heading into 2023 are set to cost zero-emission buyers more than in the past couple of years.
Norway is proposing budget policies to reinstate a previously removed Vehicle-Added Tax (VAT) for new EV purchases, accounting for 25 percent of the total sum paid for any vehicle over NOK 500,000 ($93,236 USD) reports Auto Evolution.
In addition to the VAT, the proposed budget would also reinstate a vehicle weight tax of NOK 12.5 ($1.10 USD) per kilogram, after the first 500 kg (1,320 lbs).
Another rolled-back benefit to EV owners would include tolls, which drivers of zero-emission vehicles have only had to pay half of this and last year, instead requiring them to pay 70 percent of the cost.
Tesla Model Y Tops Car Sales in Norway for June 2022 and Year-to-Date https://t.co/oNWPR6W2oY
— TeslaNorth.com (@RealTeslaNorth) June 26, 2022
For companies purchasing EVs, mandatory taxes will go from just 80 percent of a vehicle’s value to the full 100 percent.
The move comes as Norway boasts an impressive 78 percent EV market share out of all auto registrations so far in 2022, according to data from the Norway Road Traffic Information Council.
Norway also banned the sale of gas cars starting in 2025, and the country has offered several other incentives to EV buyers such as toll and parking discounts, corporate EV purchase tax exemptions and more.
In order for the reinstated taxes to pass, Norway’s Parliament must support the proposal, though that’s expected to happen with ease says Auto Evolution.
Tesla’s Model Y was the best-selling car in Norway earlier this summer as the compact crossover SUV continues to be popular in the nation.
