Report

Abolition of Car and Motorcycle Purchase Tax rebate for taxis and social care transport

The abolition of the Car and Motorcycle Purchase Tax rebate scheme for taxis and social care transport on 1 January 2020 will lead to only a very minor shift towards use of fully electric passenger and wheelchair minibuses in the coming years. Even though there are a small number of providers of such minibus services operating in the Dutch market, these vehicles are used far less than their diesel counterparts. This is due not only to their limited range, but above all to the restricted wheelchair space because of the maximum permitted weight. On balance, the measure will probably lead to higher costs in the special needs transport sector, which may squeeze supply of transport for the disabled, school pupils and senior citizens.

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