Business travel is one of the areas to suffer under the austerity measures introduced by the new Italian premier. The package, entitled ‘Salva Italia’ (save Italy) includes increased taxation on cars and on business aviation. A new ‘luxury’ tax of 20 Euros per kilowatt of power over 185 kilowatts has been introduced for cars, with this applying proportionally at 60%, 30% and 15% for cars which are respectively 5, 10 and 15 years old. The tax no longer applies when cars reach the age of 20 years. The programme also hits business trips in limousines or business aircraft. German newsletter DMM reports that this measure is set to make premium German models more expensive in Italy.
| 24/02/2012 | Tim Harrup