Saturday 15 May 2021

Used Electric Vehicles To Be Exempt From Tax

Government will eliminate in a year the tax exemption for hybrid vehicles for scarce impact in 20 years

In an effort to limit the emission of polluting gases, the government signed on Wednesday several executive decrees, one of which exempts used electric vehicles from the payment of the excise tax upon entering the country.

In the photo, in Los Anonos, Sabana Sur, the Compañía Nacional de Fuerza y Luz (CNFL) – a subsidiary of ICE – plant were electric vehicles are used. Photo: Marcela Bertozzi

The decree was signed by the Minister of Environment and Energy (MINAE), Carlos Manuel Rodríguez, and the Minister Public Works and Transport (MOPT), Rodolfo Méndez,  the Minister of Finance, Rocío Aguilar and President Carlos Alvarado.

- Advertisement -

The decree that extends the benefit to used electric vehicles only –  those that operate with electricity or other technology without emissions and without a combustion engine – whose age is equal to or less than 5 years old.

The benefit covers both automobiles, motorcycles, cargo transport vehicles, minibuses and buses.

The exoneration will only apply to vehicles with a CIF value at customs of US$30,000 and under. The limit, however, will not apply to public transport vehicles or freight transportation.

In addition, the used electric vehicles will not be subject to vehicle restriction and may use blue parking spaces within public parking lots, as well as supermarkets, shopping centers and other private parking, as stipulated in Law No. 9518, Incentives and Promotion for Transportation Electric, of January 25, 2018.

- Advertisement -

More: ICE Prepared For Electric Vehicles

The decrees will be in effect once it is published in the official government newsletter, La Gaceta; which publication scheduled for next week, said first lady Claudia Dobles who coordinated the process that led to the drafting and signing of these decrees as part of the mobility projects promoted by Casa Presidencial (Government House).

Electric filling station in front of ICE building in La Sabana norte

Dobles emphasized that the exemption for cars with a CIF value equal to or less than US$30,000 is specifically to make this type of ca accessible to the middle class.

“This is aimed at people for whom the payment of new and luxury electric vehicles in the range of US$60,000 or more is inaccessible,” he said.

Bad news for hybrids

Apart from the decrees benefiting electric vehicles, decrees were signed to eliminate, in one year, the tax exemption on hybrid vehicles (vehicles that use electricity and internal combustion engine to drive) that has been in place for importers of hybrids.

- Advertisement -

The Wednesday signing thus repeals Executive Decree number 33.096 of March 14, 2006,  ‘Incentivo al uso de vehículos Híbridos-Eléctricos’ (Incentive to the use of Hybrid-Electric vehicles), which exempted them from the excise tax upon entering Costa Rica.

According to data by the Dirección de Energía del Ministerio de Ambiente y Energía, between 2006 and 2018, only 1,844 hybrid vehicles applied for the tax exemption benefit. ANd according to statistics, hybrids do not exceed 0.1% of the circulating vehicle fleet and, therefore, has generated an impact much lower compared to the all-electric technology in terms of improving air quality and air quality, and emissions of greenhouse gases.

- Advertisement -

FACT CHECK:
We strive for accuracy in its reports. But if you see something that doesn’t look right, send us an email. The Q reviews and updates its content regularly to ensure it’s accuracy.

Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Chevrolet installs its first charger for electric cars at its headquarters in Ayarco

QCOSTARICA - With more than 1,600 electric cars of various brands...

ICE to start charging at fast-charging stations for electric cars

QCOSTARICA - The honeymoon of free charges at Instituto Costarricense de...

MOST READ

Covid vaccine passport, salvation or division?

EL UNIVERSAL Washington / Brussels - The desperation to reactivate economies, in the midst of the coronavirus pandemic, has prompted an idea: to create...

Top 3 Japanese-Inspired Online Slots

Slots are the most popular category in any casino. Gambling websites feature hundreds of these games, simplistic and elaborate. Reel symbols range from cherries...

Three thousand hospitalized by the end of May, UCR projects

QCOSTARICA - On Monday, the Ministry of Health reported 1,280 people in hospital with covid-19, of which 466 of them in an ICU, aged...

Colombia surpasses 80,000 COVID-19 deaths; ICU’s nearly full

QCOLOMBIA – Confirmed deaths from COVID-19 in Colombia passed 80,000 on Friday, May 14, with intensive care units almost full in the biggest cities,...

College of Physicians proposes to apply 150,000 doses weekly; tighten vehicle restrictions

QCOSTARICA - Applying 150,000 doses per week of the covid-19 vaccine and establishing stricter vehicle restrictions temporarily, are the two main proposals of the...

Space tourism is here – 20 years after the first stellar tourist, Jeff Bezos’ Blue Origin plans to send civilians to space

For most people, getting to the stars is nothing more than a dream. But on May 5, 2021, the 60th anniversary of the first...

Today’s Covid news: We are almost a death every hour

QCOSTARICA - The last seven days (May to May 11) have been bitterly deadly for the country, with 146 people dying from covid-19. According to...

Travel agencies estimate 10,000 Costa Ricans who will travel to the United Stares to be vaccinated

QCOSTARICA - The demand of Costa Ricans to go to get vaccinated against covid-19 in the United States increased strongly from Semana Santa, so...

Can scientists predict all of the ways the coronavirus will evolve?

Late last year, three distinct and fast-spreading coronavirus variants were observed in the UK, South Africa and Brazil. More recently, variants in India, the...

WANT TO STAY UP TO DATE WITH THE LATEST!

Get our daily newsletter with the latest posts directly in your mailbox. Click on the subscribe and fill out the form. It's that simple!

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.