Dutch second-hand Teslas fleeing the country
Heavily government-sponsored electric cars are fleeing the country in the Netherlands massively after five years. For example: from 1.186 Teslas being five years or older in 2018, 753 were sold abroad with only an average of 150.000 km on the odometer.
It’s not just Teslas, though, figures of Dutch leading data provider, VWE Automotive, show. A total of 1.552 second-hand EVs fled the country in 2018, but the bulk were expensive Teslas. The reason is quite simple: after five years the fiscal benefit expires and it’s no longer a good deal keeping it, as leasing a new electric car is more interesting for the Dutch.
Same as Mitsubishi Outlander
“We see the same reflex as with the Mitsubishi Outlander PHEV”, spokesman Gerhard Heijink from VWE says. “After the government forcing up the value to be added to the taxable income (called ‘bijtelling’ in Dutch e.n.) they were dumped massively abroad.”
Director Mark Schreurs from MisterGreen Electric Lease, managing a fleet of more than 1.500 Teslas, agrees that the current Dutch subsidy is stimulating EVs to flee the country after a few years. “Now it are the first generation Teslas, but if you know that there are driving some 13.000 of them around, you can guess what’s going to happen next.”
70.000 euro tax benefit
A professional driver so far got some 70.000 euro tax benefit in five years when leasing a new 89.100 euro Tesla. After that period, the benefit expires and instead of paying 297 tax per month, it becomes 457 euro.
To compare: after five years you still pay 292 euro tax per month for a tiny Citroën C1. So, until now it was far more interesting to lease a new Tesla, instead of keeping it. From this year on, the subsidy is topped off for the most expensive cars, like the Tesla. The value of 4% to be added to the taxable income applies only for the first 50.000 euro of the list price. Above that, the ‘normal’ 22% applies.
Finding a ready market
Meanwhile, the expensive Dutch electric cars find a ready market and Dutch government sees its subsidies intended to make the national car fleet ‘greener’, flow across the borders, but there is little government can do, a spokesperson says.
“EU rules don’t allow to put up barriers against leasing companies selling their second-hand cars abroad and extending the subsidy for the same car is not effective”, he adds. So Mark Schreurs, for instance, sees no reason the Dutch Teslas would stop going down the drain that soon. Abroad, the Dutch Teslas are hot. After all, those electric cars are far from worn-out after 150.000 km.