Fleet News

Danish court overturns bid to scrap tax

THE DANISH government has defeated a bid by the European Commission to have a vehicle registration charge levied on drivers moving with their car or van to Denmark from another European Union (EU) member state declared illegal.

The Commission argued at the European Court of Justice this fee is a consumption tax, breaking EU internal market legislation, which bans the double payment of such taxes, including VAT.

But the court said the fee covered the legitimate costs of a vehicle’s registration, separate from its import into Denmark.

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