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Norway's Taxing Behavior.(Column)
Byline: Matt Davis
Norway and Iceland are the only two deliberate holdouts in the "United States of Europe'' vision for the European Union.
Both northern republics, with their extremely healthy economies (Icelandic fish; Norwegian fish, oil, natural gas, lumber and high-tech), are hesitant to throw it all in with the southerners. The Norwegians in particular continue to live in a socialist system that mostly works brilliantly. Norway would undergo radical EU changes were its citizens to vote in favor of joining. Issue No. 1 in any socialist setup is taxation. To my point: taxes on new cars.
Car taxes in Scandinavia are the stuff of legend, and nowhere is this so evident as in pristine, fuel-gushing Norway. Chatting recently with a Norwegian colleague, I asked him for a breakdown of the various automotive taxes.
Take, for instance, the North American starting price for the Porsche Cayenne Turbo S, $111,600. Buyers will likely drive away with about a $130,000 deal. In Europe the base price is [euro]101,200 (about $120,000). In Norway, after the importer has its way with setting the price, and after tacking on the 24 percent sales tax, then adding the engine dimension surtax and finally the horsepower ...
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Source: HighBeam Research, Norway's Taxing Behavior.(Column)