Overview
- The extension covers pure battery cars first registered by 31 December 2030, with tax-free status lasting up to ten years but ending no later than 31 December 2035.
- Without the change, EVs registered from 1 January 2026 would have begun paying vehicle tax under the current rules.
- Finance Minister Lars Klingbeil said he will submit legislation to amend the Kraftfahrzeugsteuergesetz to enact the extension.
- The measure is presented as one component of a wider support package to be discussed Thursday with federal and state officials, industry leaders, and unions.
- The Finance Ministry estimates several hundred million euros in lost revenue, while the auto lobby welcomes the move and critics question its fairness and effectiveness.