CHAIR OF THE COUNCIL OF MINISTERS

Proposed Law No. 277 /X

Exhibition of Motives

The contraction of the markets of the most developed countries, particularly the markets

European and North American, as well as the general slowdown of the economy at the global level,

are having a noticeable repercussion in the automotive sector, whose sales have revealed

a sharp break in recent months.

Recognizing the said situation and the importance of this sector in the national economy, which is

made up not only by companies in the automotive sector, but also by various

other companies that depend on it, urge to adopt corrective measures and to foster the

automotive trade likely to produce immediate effect.

The adoption of such measures shall, however, be made with respect to environmental policy

that in this area it has been being followed in Portugal, thus opting for the majoration

transient from tax incentive to slaughter to end-of-life vehicles and decreasing age

necessary for the said slaughter, which prevents any incentive to purchase the vehicles

more pollutants and limits in time the application of a measure that can come to become

unnecessary with the recovery of the national economy.

The present proposed law thus intends to introduce a more favourable transitional regime

of the tax incentive for the destruction of light automobiles in end of life provided for in the

Decree-Law No 292-A/2000 of November 15, amended and republished by the Decree-Law

n ° 33/2007 of February 15 and with the amendments made by the Law No 64-A/2008,

of December 31, which approved the State Budget for 2009.

Thus:

Under the terms of the paragraph d) of Article 197 (1) of the Constitution, the Government presents to the

Assembly of the Republic the following proposal for a law:

CHAIR OF THE COUNCIL OF MINISTERS

Article 1.

Transitional arrangements for the application of Decree-Law No 292-A/2000 of November 15

1-The amounts of reduction of the vehicle tax set out in points a) and b)

of Article 2 (1) of the Decree-Law No 292-A/2000 of November 15 are set

in € 1250 and € 1500, respectively, applying for the benefit applications

submitted until December 31, 2009, pursuant to Rule 2 (3) of the

even decree-law.

2-The transitional regime referred to in the preceding paragraph applies:

a) For the cases set out in paragraph a) of Article 2 (1) of the Decree-Law

n 292-A/2000, of November 15, light cars to be destroyed with 8

years or more and less than 13 years;

b) For the cases set out in paragraph b) of Article 2 (1) of the Decree-Law

n 292-A/2000, of November 15, light cars to be destroyed with 13

years or more.

Article 2.

Entry into force

This Law shall come into force on the day following that of its publication.

Seen and approved in Council of Ministers of April 16, 2009

The Prime Minister

The Minister of the Presidency

The Minister of Parliamentary Affairs