Road financing St. Gallen government wants to change vehicle taxation

SDA

15.8.2024 - 12:23

Electric cars are no longer to be specially subsidized in the canton of St. Gallen in future. The government is proposing adjustments to motor vehicle tax. (Archive image)
Electric cars are no longer to be specially subsidized in the canton of St. Gallen in future. The government is proposing adjustments to motor vehicle tax. (Archive image)
Keystone

The St. Gallen government wants to introduce a new bonus/penalty system for vehicle taxation. The preliminary consultation committee agrees in principle. Electric bicycles are to be exempt from the tax. The bill will be discussed in the upcoming September session.

Keystone-SDA

To date, electric vehicles have been exempt from motor vehicle tax in the canton of St. Gallen for four years. After that, only half is charged. The consequence of this is that because there are more and more electric cars, the tax revenue required for road funding is reduced.

Several motions have recently been submitted to the Cantonal Council on the subject of vehicle taxation, which are now being taken up for revision. The government is proposing various changes. In future, passenger cars and motorcycles are to be taxed 70 percent according to weight and 30 percent according to power.

The energy label is decisive

Furthermore, a bonus-malus system will be introduced that is revenue-neutral. This means that the bonus would be financed by the penalty. The new benchmark would be the federal government's energy label. In this way, all vehicles that emit fewer pollutants, regardless of their drive system, could benefit.

The preliminary consultation committee agrees in principle with the changes. However, it is requesting that hydrogen or electricity not be mentioned in the legal text so that the incentive system is "technology-neutral", as stated in the press release issued by the State Chancellery on Thursday.

The commission is also calling for e-bikes and mopeds to be exempt from the tax. This should make the use of electric bikes "financially more attractive".