The Ministry of Finance estimates that the upcoming increase in car tax will contribute between 0.5 and 1 percent to inflation in Estonia. According to a statement from the Ministry, these are approximate calculations with a significant error margin. The impact is primarily due to the primary registration tax, which increases the price level of vehicles.

Officials noted a lack of detailed information regarding the distribution of vehicles between businesses and private ownership, complicating the precise assessment of the tax’s effect on consumer prices. Key words finance inflation problem price level car tax

Topics: #car #tax #preparing

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