This thesis researches the financial effects of electric driving. The focus lies on the financial effects for the government. First the electric car is defined after which the Dutch tax system is explained. The most important factor for government income is excise duty on fuel prices. Therefore these excise duties are taken and compared to the excise on electricity. This leads to the scenario analysis which assumes consumers trade their conventional fuel car for an electric car. This concludes that the government will lose approximately € 2,5 billion income, which is about 1% of the total income. The benefits are hard to value but in an attempt to do this an estimate of € 118 million. Subsidizing electric vehicles will eventually lose the government a lot of money and benefits the country hardly.