On 27 November, the European Commission sent a reasoned opinion, the second stage of the infringement procedure, to Portugal for taxing used cars imported from other Member States at higher rates than used cars purchased in the Portuguese market.


According to Brussels, in a statement, “Portuguese legislation currently does not take full account of the depreciation of vehicles imported from other Member States” and is therefore not compatible with EU rules.


The Commission wants Portugal to amend “discriminatory legislation on vehicle registration tax”, giving a deadline of one month for this, otherwise the matter will be brought before the ECJ again.


The ECJ had already condemned Portugal on 16 June 2016 for finding that an earlier version of this Portuguese tax was contrary to EU law.
The Commission may refer the case back to the ECJ as it considers that the amendments adopted in the meantime are insufficient to meet European standards.