Gas guzzler tax
From DDL Wiki
Gas Guzzler
National Energy Act: Energy Tax Act (1978)
- imposed on manufacturers of new model year cars (not minivans, sport utility vehicles or pick-up trucks) that fail to meet the minimum fuel economy level of 22.5 mpg.
- intended to discourage the production and purchase of fuel inefficient vehicles. The fuel economy figures used to determine the tax are different from the fuel economy values provided in the Fuel Economy Guide.
- collected by the IRS - paid by the manufacturer or importer after production has ended for the model year and is based on the total number of gas guzzler vehicles which were introduced into commerce in the United States. The amount of the tax paid is displayed on the vehicle's fuel economy label (the window sticker on new cars).
