Car taxes generate record breaking 20 billion euros to Belgian state
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    Car taxes generate record breaking 20 billion euros to Belgian state

    Belgium’s various car taxes contributed in 2018 not less than 20.73 billion euros to federal and regional authorities, according to Febiac, the Belgian automobile federation, a 6% increase compared to the previous year.

    The increase is mostly due to a growth in tax collection from excise and VAT on fuel.

    In 2018, excise duties on petrol and diesel added 6,1 billion euros into the state coffers, registering a jump of nearly 12% compared to 2017. These taxes represent close to 30% of total revenue on cars. VAT on fuel alone brought in 2.7 billion euros.

    “Belgium is committed towards the phasing out of diesel. Petrol car sales therefore have increased, and with them, the amount of excise revenues and VAT, since these vehicles consume more fuel than diesel cars,” Febiac Director of Studies Michel Martens said.

    The Brussels Times