Gas Guzzler Tax

Gas Guzzler Tax

A tax levied on manufacturers and importers producing or importing cars with gas mileage of less than 22.5 miles per gallon. Instituted in 1978 as part of a wider effort to reduce reliance on oil, the gas guzzler tax largely halted the production and sale of extremely large family cars seen previously. It does not apply to trucks or sport utility vehicles. See also: Green Fund.
References in periodicals archive ?
And when optioned with the segment-exclusive TorqueFlite eight-speed transmission, the new Challenger R/T Scat Pack delivers up to a 9 percent improvement in fuel economy and up to 25 mpg on the highway C worthy of gas guzzler tax exemption.
Starting manufacturer's suggested retail price, including destination charge and federal government gas guzzler tax is $60,990 for a model with six-speed, Tremec, manual transmission.
Pricing begins at $72,195, including a $995 destination charge and $1,300 gas guzzler tax, and are available for immediate order.
These are the American Automobile Labelling Act, the Corporate Average Fuel Economy (CAFE) payment and the so-called Gas Guzzler Tax.
Some market incentives, such as a tax credit for hybrid vehicles and the Gas Guzzler Tax on fuel-inefficient cars, currently exist to encourage consumers to buy fuel-efficient vehicles.
The gas guzzler tax is levied on automobiles that obtain fewer than 22 miles per gallon and explicitly excludes SUVs, minivans, and pickup trucks.
For all practical purposes, therefore, there is no Gas Guzzler tax.
Some types of excise taxes have separate forms, such as the heavy highway vehicle use tax (Form 290), gas guzzler tax (Form 6197), and excise tax on greenmail (Form 8725).
With a base price of $66,000--which doesn't include the mandatory gas guzzler tax ($2,100) or destination charge ($720)--the RS4 isn't exactly cheap.
The Energy Act of 1978 established the gas guzzler tax on the sale of new vehicles for which the weighted average fuel economy was less than 22.
Gas guzzler tax: Limousines rated at more than 6,000 pounds unloaded gross vehicle weight are now exempt from the gas guzzler tax, as they are excluded from the definition of an automobile.
In addition, the gas guzzler tax is considered explicitly to determine the extent to which consumers internalize this potential added cost and to what extent it influences consumers' valuation of fuel economy.