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

Why Rental Car Firms Register Vehicles in Escorca

Low municipal taxes can make small Mallorca villages attractive for rental car and fleet registrations.

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

Answer

Why do rental car companies register vehicles in small Mallorca villages like Escorca?

Rental car companies and other fleet operators often register vehicles where the tax bill is lowest. In a small Mallorca village like Escorca, that can mean the vehicles are only present on paper while they are used elsewhere on the island or mainland. A symbolic office or formal address may be enough to complete the registration.

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