BALLEARICS INTRODUCE NEW TAX ON CAR RENTAL

The government of the Balearic Islands has applied for a new law to collect an ecological tax on customers hiring a car in the Balearic Islands (Majorca, Ibiza, Menorca, Formentera), reports holiday autos. The new tax is likely to come into effect on April 1st 2013.

The new rental car tax / environmental tax will be part of a package of tax rises to help the Balearics re-balance the budget in 2013.

If the government implements the proposed tax, customers who are due to collect a vehicle as of April 1st 2013 will have to pay an additional fee of between €3.50 and €9.00 (subject to change) charged per car rental day with the amount of tax levied dependent on the size of the vehicle hired.

holiday autos' Spanish car hire partners, who provide the vehicles booked through the company, are still awaiting final details of the proposed legislation and how the charges will impact clients.

holiday autos has put together a comprehensive FAQ section - focusing on this topic - on its website.

Comments the car rental operator, "At holiday autos we have always believed it is vitally important that we are transparent with our partners on what charges are included in the total cost of our products. The new rental tax, if it becomes law, may have to be additionally paid for direct to the car hire provider on collection of your clients’ hire car. The amount (of tax) due will be shown clearly on the rental voucher.

Holiday Autos would like to take this opportunity to apologise for any inconvenience caused by this new tax being introduced by the local government, which is out of our and travel agents' control."

MTB 17/03/2013