Trade organisations approach EC over tax incentives for cycling

ETRA,COLIBI and COLIPED have jointly appealed to the Taxation Commissioner Kovács for a European strategy on tax incentives for cycling.

According to the ETRA website: "The request follows on Mr Kovács’ statements indicating that the Commission will discontinue all research into the effect of VAT-rates on the use of energy-efficient goods and energy-saving materials. ETRA, COLIBI and COLIPED had been lobbying for lower VAT-rates on all bicycle products and services in this framework."

ETRA Secretary General, Annick Roetynck, explains: “Millions of European citizens are driving cars, which they have obtained for free, as an extra-legal benefit, the majority of commuting cyclists have to pay for their bikes. They also have to pay the standard VAT-rate on that bike, with a minimum of 15 per cent and a maximum of 25 per cent of the buying price. This taxation policy goes totally against other EU policies such as transport, environment and energy. We believe the European Union needs an approach that, via a range of practical and feasible measures, significantly reduces the levels of all private motorised transport in urban areas and that increases the proportion of journeys made by bicycle as well as on foot and by public transport. Harmonised fiscal incentives should be part of those measures because several examples in the member states show that they are effective.”

To read the full statement, click here.