News FAQBlick aufs Festland

20 Cars per Inhabitant: How a Tramuntana Village Became a Tax Haven for Vehicle Fleets

How Municipal Vehicle Tax Works in Mallorca

Mallorca towns can set different vehicle tax rates, and low rates can attract fleet registrations from outside the area.

Published: April 23, 2026
20 Cars per Inhabitant: How a Tramuntana Village Became a Tax Haven for Vehicle Fleets

Answer

How does the vehicle tax work in Mallorca municipalities?

Mallorca municipalities can set their own vehicle tax rates within state rules, so some places charge much less than others. That makes them attractive to rental companies, leasing firms and large fleets looking to lower costs. The tax difference can strongly influence where vehicles are registered, even when they never drive in that municipality.

More questions on this topic

Related follow-up questions from the same article, collected in one place.