From personalized license plates to exemption from car tax: how the new measures of the 2027 Budget work

The Budget law for 2027 reserves two innovations of very different weight for motorists. The first affects the wallets of millions of families: the exemption from road tax for cars up to 80 kW and for motorbikes ceases to be valid for just one year. The second has the flavor of curiosity and concerns the possibility of choosing letters and numbers of the license plate, foreseen on paper for over twenty years and never become reality.

The stamp duty comes out of a one-off amount

The Council of Ministers approved the budget bill on 28 October 2026. In the press release from Palazzo Chigi the measure occupies one line: the exemption from car tax for vehicles up to 80 kW and for motorcycles becomes structural. The discount created for 2027 only would therefore continue in subsequent years, provided that Parliament confirms the text by the end of the year. It remains to be understood how the Regions, to which the tax revenue belongs, will be compensated.

Who is entitled to the exemption

According to the prime minister, the criteria remain those of article 2 of the legislative decree of 17 September 2026, n. 162, the so-called fuel decree, which Parliament must convert by 16 November. The benefit is available only to natural persons, for a single regularly insured vehicle. For cars the ceiling is 80 kW, around 109 horsepower, with a petrol or diesel engine, including a hybrid one. Those who own multiple eligible cars do not choose: the exemption goes to the least powerful one and, with the same kW, to the one with the lowest tax. Petrol motorcycles and mopeds are included only if the owner does not already have a car within the 80 kW range. Those who have both save on the car and continue to pay for two wheels. In the Regions with special statute and in the autonomous Provinces, an agreement with the State is first required. For 2027, the payment deadline counts, which must fall between 1 January and 31 December: the tax due at the end of 2026 is paid in full even if it covers months of the following year. The State transfers approximately 2.3 billion to the Regions to compensate for the lost collection.

Personalized plates, costs and times

Giorgia Meloni presented them at the press conference as a “colorful” note. The figures, for now, can be read elsewhere, in the outline of the new Highway Code preliminarily approved by the Council of Ministers on 13 October. Annex VI.2 sets 500 euros for the pair of car license plates, destined for the State Printing Office, plus a 20% increase for the Ministry of Infrastructure and Transport: 600 euros in total. For motorbikes, the rear license plate costs 300 euros, which with the same mark-up rises to 360. The format and characters allowed will be defined by an implementing regulation. Before the definitive green light, the Code must pass through the Council of State, the Unified Conference and the parliamentary commissions, and only then will the instructions for the application arrive. Below is the press conference of October 28th:

Speaking of personalized plates, we have some ideas to suggest: