As Europe grapples with the ongoing effects of the Russo-Ukraine war, shifts in environmental policy, and economic challenges faced by everyday citizens, fuel taxes remain a critical component of policy discussions across the continent. The European Union mandates a minimum excise duty of €0.359 per liter on petrol (gasoline), with some countries exceeding this baseline significantly.
- Gas Taxes in EU Countries:
- Malta adheres to the minimum rate of €0.359 per liter for gasoline, the lowest in the EU.
- Bulgaria follows closely at €0.363 per liter, with Poland at €0.391 per liter.
- On the other end, the Netherlands leads with the highest gas tax in the EU at €0.789 per liter, trailed by Italy and Greece.
- Excise Duties on Diesel:
- Despite a decline in diesel vehicle sales, they still make up around 15% of new car registrations in the EU.
- The EU requirement sets the minimum excise duty for diesel slightly lower at €0.33 per liter.
- While most EU countries impose lower excise duties on diesel compared to gas, Belgium and the UK (no longer part of the EU) maintain the same rate for both.
- Comparing Gas and Diesel Taxes:
- The average excise duty on gasoline in the EU stands at €0.548 per liter, with diesel at €0.445 per liter on average.
- The UK charges the highest excise duty on diesel, followed by Italy and Belgium.
- Bulgaria and Malta have the lowest diesel excise duties at the EU minimum, along with Poland close behind.
Europe’s approach to fuel taxation is pivotal as the region navigates towards a greener future. As the EU transitions towards sustainability, fuel taxes are set to play a vital role in shaping policy decisions.
Subscribe to stay updated on tax policies affecting you. Get expert insights delivered directly to your inbox for informed decision-making.