Taxation

The Taxation Policy related to climate change is outlined below.

Vehicle Registration Tax

The rebalancing of Motor Tax together with the initiative on Vehicle Registration Tax brings a strong emissions focus to the tax regimes for new vehicles registered since 1 July 2008 .  These changes were accompanied by a new labelling requirement for cars that help ensure the consumer is fully informed about the environmental and cost implications of choosing a particular car. 

The Accelerated Capital Allowance

The Accelerated Capital Allowance (ACA) is a tax incentive for companies in Ireland to purchase energy efficient equipment. It allows companies to write off 100% of the purchase value of specified energy efficient equipment in the year of purchase.

Carbon Tax

A Carbon Tax was introduced by the Government as part of the 2010 budget. The carbon tax applies to kerosene, marked gas oil, liquid petroleum gas, fuel oil, natural gas and solid fuels. The rate of tax, with effect from 1 May 2013, is based on a charge of €10 per tonne of CO2 emitted by the fuel concerned. The rates will increase to €20 per tonne with effect from 1 May 2014.