An audit conducted by the Audit Office at the Road Transport Department (RTD) found that the calculation of surcharges for late payment of vehicle circulation licence fees by the RTD’s computerised system is incorrect, resulting in the overcharging of vehicle owners.
The system calculates the surcharge as a percentage of the annual fee, even in cases where the licence is renewed for a shorter period, such as three or six months.
As stated in the report published yesterday by the Audit Office, the law is clear: the calculation should be based on a percentage of the fee corresponding to the period for which the late renewal applies.
According to the Motor Vehicles and Road Traffic Law (Law 86/1972), the circulation licence fee, whether annual, six-monthly or three-monthly, must be paid within 70 days from the expiry of the licence. In the event of delay, a surcharge is imposed equal to €10 plus 10% of the corresponding fee, depending on the duration of the licence.
On the other hand, the Road Transport Department maintains that the surcharge is always calculated as up to 10% of the annual fee, regardless of whether the renewal αφορά three or six months. The department cites the amended paragraph 11(c) of Part One of Schedule I of the Law, which provides that:
“Notwithstanding any other provision, in the event of late payment of the fee, it shall be increased by an amount equal to 10% of the annual circulation licence fee of the vehicle, as a surcharge on the payable fee for each annual fee or part thereof.”
€59 million Lawsuits
In the same report, the Audit Office reveals that five bus companies have filed lawsuits against the state, claiming additional amounts exceeding €59 million, beyond what they have already received, relating to financial disputes for the period 2010–2020.
This article was originally published in the Politis daily newspaper.