The purpose of establishing a system for refunding some of the RTs charged when registering any passenger car which is to be exported or permanently transferred to another EU country is to avoid double taxation in the interim period until RTs will be phased out. Moreover, clear rules are established for the calculation of the residual value of the RT to be refunded in the above cases.

The proposal aims at establishing a similar refund system for ACT, the calculation of the amount to refund or to charge should be made on a pro rata temporis basis.

do nothing, which would mean that EU Member States would continue to have highly diversified car tax systems and that individuals encountering problems such as double taxation as a result of the interaction of these different systems might have to take their case as far as the European Court of Justice in order to remedy this retain existing taxation systems but introduce a system of refund of registration tax so that at least double taxation is prevented when a car is transferred from one Member State to another phase out registration tax gradually, since registration tax is the main obstacle to the free ...[+++]movement and transfer of passenger cars within the Internal Market, with the application of a registration tax refund system in the meantime, and introduce a new tax structure linked to CO2 emissions or reduce registration tax to a level that does not exceed 10% of the pre-tax price of the car which would at least tackle the excessive and disproportionate payment of registration tax.

*a refund system for the RT in cases where a used car is sold to another MS or exported to a third country. The way of calculating the residual RT to refund should be the same as in the case of import of used cars from other Member States;

We know that, under the current loan repayment system, loans are guaranteed by the government.

2. The Commission proposes that the overall deficit be covered by two sets of measures: i) The EAGGF Guarantee deficit will be met by switching from the advances system to a reimbursement system. This will save the Commission from having to finance in 1987 expenditure by the Member States after the budget appropriations have all been used up, i.e. roughly the expenditure of the last two months of the year.