Subsidy: Less subsidy money from 2023?

ADJUSTMENT The German government has agreed on new subsidy rules for the purchase of electric cars, reports the "Handelsblatt" with reference to government circles.

Subsidy
The funding is to continue only until a total of €2.5 billion has been paid out.

The subsidy is to be significantly reduced from next year at the latest and will still apply to company or craftsman vehicles. The subsidy for the purchase of plug-in vehicles is to be abolished at the end of this year.

The compromise ends a months-long dispute between German Finance Minister Christian Lindner (FDP) and the Greens. While Lindner has long considered the subsidy harmful and would prefer to abolish it, the Greens insisted on the coalition agreement. It provides for the current subsidy to be reduced, but not to be finally phased out until 2025.

These are the new rules at a glance
The traffic light coalition apparently agreed on new subsidy rules. Accordingly, the subsidy for cars costing less than 40,000 euros will drop from 6,000 euros to 4,500 euros.

For more expensive e-cars, there will only be a subsidy of 3,000 euros, and for a purchase price of more than 65,000 euros, there will still be no subsidy. The tax benefits for electric cars in the company car scheme are to be retained.

federalgovernment.com

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