The impact of petrol and diesel oil taxes in EU member states on CO2 emissions from passenger cars.

The article aims to explain road CO2 emissions, including passenger car emissions in the EU member states, with the rates of indirect taxes (except VAT) for petrol and diesel oil. Apart from tax rates, the analysis includes some selected variables concerning economies and transport infrastructure, which impact CO2 car emissions. Compared to the existing literature, we focus on emissions from passenger cars and analyse more countries over a more extended period using more updated data. Our findings confirm that fuel taxes have a generally negative but limited impact on emissions from passenger cars. This impact is independent of whether we relate emissions to the number of inhabitants or GDP and is generally stronger in EU member states with higher taxes. In many countries, the economic affordability of fuels has significantly increased over the last few years. This phenomenon is another argument for a more active tax policy, i.e., general adjustment of the tax rates in line with inflation. There is also great importance for those adjustments in times of high fuel prices when governments are under tremendous pressure not only to stop tax increases but to reduce them, which was the case in 2022 after the Russian aggression on Ukraine.

The Impact of Raising Alcohol Taxes on Government Tax Revenue: Insights from Five European Countries.

BACKGROUND AND OBJECTIVE: Reducing the affordability of alcoholic beverages by increasing alcohol excise taxation can lead to a reduction in alcohol consumption but the impact on government alcohol excise tax revenue is poorly understood. This study aimed to (a) describe cross-country tax revenue variations and (b) investigate how changes in taxation were related to changes in government tax revenue, using data from Estonia, Germany, Latvia, Lithuania and Poland. METHODS: For the population aged 15 years or older, we calculated the annual per capita alcohol excise tax revenue, total tax revenue, gross domestic product and alcohol consumption. In addition to descriptive analyses, joinpoint regressions were performed to identify whether changes in alcohol excise taxation were linked to changes in alcohol excise revenue since 1999. RESULTS: In 2022, the per capita alcohol excise tax revenue was lowest in Germany (€44.2) and highest in Estonia (€218.4). In all countries, the alcohol excise tax revenue was mostly determined by spirit sales (57-72% of total alcohol tax revenue). During 2010-20, inflation-adjusted per capita alcohol excise tax revenues have declined in Germany (- 22.9%), Poland (- 19.1%) and Estonia (- 4.2%) and increased in Latvia (+ 56.8%) and Lithuania (+ 49.3%). In periods of policy non-action, alcohol consumption and tax revenue showed similar trends, but tax level increases were accompanied by increased revenue and stagnant or decreased consumption. CONCLUSIONS: Increasing alcohol taxation was not linked to decreased but increased government revenue. Policymakers can increase revenue and reduce alcohol consumption and harm by increasing alcohol taxes.