Austrian Engine-Related Insurance Tax: Rates & EV Rules for Passenger Cars

In Austria, passenger car owners pay the Motorbezogene Versicherungssteuer (engine-related insurance tax) alongside their mandatory liability insurance (KFZ-Haftpflicht).

How the Tax is Calculated for Cars

For passenger cars registered after October 1, 2020, the tax formula combines two factors:

1. Engine Power Output (kW)
2. CO2 Emissions (g/km under WLTP cycle)

This dual formula incentivizes lower-emission and lower-horsepower passenger vehicles with significantly lower monthly tax rates.

Electric Vehicles (EV) Tax Updates

While pure battery electric vehicles (BEVs) historically enjoyed complete tax exemption from the motor-related insurance tax, legislative updates mandate standard registration and monitoring procedures. Hybrid passenger vehicles pay tax strictly on the combustion engine’s kW rating.

Payment Frequency Penalties

Paying your insurance tax monthly or quarterly includes a statutory surcharge compared to annual single payments:

• Monthly payment: +10% surcharge
• Quarterly payment: +8% surcharge
• Bi-annual payment: +6% surcharge

Switching to annual payment via WrooWroo reminder setups saves up to 10% on administrative surcharges every year.