Estonia, Markets and Companies, Taxation, Transport

In accordance with the bill, the rate of the fee would depend on the sum of the maximum mass of the truck and the trailer and the number of axles, as well as the vehicle's emissions class, which means that the legislation would be conducive to the use of less polluting vehicles, spokespeople for the government said.

Where initially the Ministry of Economic Affairs and Communications planned to impose the tax on vehicles with a maximum mass of more than 12 tons, this was not supported by the European Commission. Also several interest groups spoke up in favor of levying the tax from 3.5 tons onwards to avoid distorting competition.

The rate of the fee would be 500 euros per year on the average for trucks with a maximum mass of 3.5-12 tons and 1,000 euros for trucks with a maximum mass in excess of 12 tons. The daily rate would range from 9-12 euros. It would be possible to pay the charge also per week, per month and per quarter.

The estimated positive revenue impact of the tax is about 17 mln euros per year.

The measure would take effect from Jan. 1, 2018 and the money thus raised would be used for the maintenance of transport infrastructure.