Gas guzzler tax

Gas guzzler tax,

Definition of Gas guzzler tax:

  1. A gas guzzler tax is a tax added on sales of vehicles that have poor fuel economy. The tax amount varies depending on the miles-per-gallon efficiency of the vehicle and ranges from $1,000–$7,700.

  2. Tax initiated under the National Energy Act that is required to be assessed to the total purchase price of vehicles that are considered less fuel efficient (less than 22.5 miles per gallon). This tax is typically paid by the manufacturer of the automobile or the dealership importing it. The tax is likely passed onto the buyer in some form.

  3. Congress established Gas Guzzler Tax provisions in the Energy Tax Act of 1978 to discourage the production and purchase of fuel-inefficient vehicles.

How to use Gas guzzler tax in a sentence?

  1. It is levied and collected by the Internal Revenue Service.
  2. A gas guzzler tax is a tax added onto cars with low fuel efficiency.
  3. Congress established Gas Guzzler Tax provisions in the Energy Tax Act of 1978 to discourage the production and purchase of fuel-inefficient vehicles.

Meaning of Gas guzzler tax & Gas guzzler tax Definition