The Italian government is set to introduce a one-year suspension of the road tax for a large segment of the vehicle fleet starting in 2027. The decree, already signed by the President of the Republic and awaiting publication in the Gazzetta Ufficiale targets gasoline, diesel and hybrid cars whose official power rating does not exceed 80 kW (about 109 hp). All motorcycles are also included, regardless of engine size.
To qualify, the vehicle must be registered to a private individual, be covered by a valid insurance policy, and present a power figure of 80 kW or less on the P.2 line of the registration document. If an owner has several qualifying cars, the exemption applies to only one – the one with the lower tax amount; in case of identical power, the cheaper tax is chosen. The same rule governs multiple motorcycles, where the exemption is granted to the lowest-power unit.
What types of vehicles are covered?
The measure embraces three main propulsion families:
- Petrol-only cars up to 80 kW;
- Diesel-only cars up to the same limit;
- Hybrid models that combine a combustion engine with an auxiliary motor, provided the combustion part stays within 80 kW.
Pure electric cars are explicitly excluded because they do not use gasoline or diesel. Their tax treatment continues to follow the existing regional schemes, which vary widely across the country.
Regional incentives for electric vehicles
Every Italian region already offers a partial or total exemption for electric cars, but the duration differs. Most regions grant a five-year full exemption followed by a reduced rate of 25 % of the standard tax. A few regions provide longer or permanent relief:
- Lombardia, Piemonte, Trentino-Alto Adige (both autonomous provinces) and the Aosta Valley – lifetime exemption.
- Campania and Valle d’Aosta – eight years of full exemption, then 25 %.
- All other regions (Abruzzo, Basilicata, Calabria, Emilia-Romagna, Friuli-Venezia Giulia, Lazio, Liguria, Marche, Molise, Puglia, Sardegna, Sicilia, Toscana, Umbria, Veneto) – five years free, then 25 %.
Consequently, an older electric car that has passed the regional exemption period will have to pay the reduced tax, while a new electric vehicle enjoys the full benefit for the first five (or eight) years, depending on its location.
Financial impact and future perspective
The state anticipates a loss of roughly €2.5 billion in road-tax revenue for 2027. To offset the shortfall, the decree proposes a transfer of about €2.3 billion from the central budget to the regions, sourced mainly from savings in the PNRR programme. Ministers have hinted at making the exemption permanent through the next budget law, but the current text limits the relief to the 2027 fiscal year.
Should the government decide to maintain the tax break beyond 2027, it would need to secure a stable financing stream, possibly by reallocating funds or adjusting other regional taxes. Until a definitive law is passed, drivers should treat the 2027 exemption as a temporary opportunity rather than a permanent reform.
