New Road Tax

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New road tax rules start on 1-1-2008

OWNERS OF vehicles with Portuguese plates must take note of the first registration date of their car as that is when they will need to purchase their Imposto Único de Circulação (IUC), the national road tax, formerly known as Imposto Municipal Sobre Veículos, following new rules introduced this month.

Starting from January 1 2008, the road tax is no longer to be paid at a specific time of the year, but throughout the 12 months, depending on the first registration date of the vehicle. As an example, if a car was registered in January 2004 for the first time, its owner has to pay the IUC during the month of January every year.

The new rules also state that the road tax stamp, which was displayed on the top right hand side of the windscreen, is no longer used and drivers are obliged to keep the receipt as proof that the tax has been paid.

Cars registered before July 2007 will pay IUC annually according to the previous values. Cars registered after July 2007 will pay the new values, which take into consideration the vehicle’s horse power and the CO2 emissions, meaning that the tax will rise substantially.

The road tax can be paid at you local Finanças office or via the internet on (site only in Portuguese).

For more information about car taxes in Portugal, visit (site available in English).

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