This follows representations from the Society of the Irish Motor Industry on the basis that buyers of fuel efficient cars in the first six months of this year would be penalised in future years because it had been planned that they would be taxed under the current system for the life of the vehicle.
It is believed this is one of the reasons for the slowdown in sales reported during the first two months of 2007.
The minister for the environment has also agreed that all imported used cars, regardless of age, will be taxed from July 1 on the same basis of equivalent Irish used cars. The exception will be cars which have emissions of over 225 g/km, which will be taxed on the CO2 regime.
SIMI says these moves have now 'levelled the playing field', and the industry will now undertake a campaign to clear up any confusion which car buyers have on the issue.
