Low-Fuel Car Sales Tax Implemented in Washington
source: http://seattlepi.nwsource.com/local/378818_greencar12.html?source=rss
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- JudahEvan
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"A new sales tax exemption that encourages Washington car shoppers to choose hybrids and alternative-fuel vehicles will save them an estimated $18.6 million over the next two years.
The savings provide an extra incentive for consumers to trade in gas guzzlers, a trend that's already in full bloom.
"It's probably not going to make that big of an impact on hybrid sales in Washington," said Bill Soholt, general sales manager of Toyota and Honda of Seattle.
Right now, depending on color and features requested, there's a two- to three-month waiting list for the Toyota Prius, Soholt said. "I don't have any hybrid units in stock unless they were pre-owned."
The tax break, which takes effect Jan. 1, applies only to new vehicles. It also only covers cars and trucks getting at least 40 highway mpg, which includes the Prius and hybrid Honda Civic, but not the Toyota Camry or hybrid SUVs.
"What this law does is it helps people save some money to get them to choose a car that's more fuel efficient -- and that's a good thing," said Don Fahnestock, an owner of The Green Car Co., a Bellevue business that sells extra fuel-efficient vehicles.
But it falls far short of encouraging the wide range of purchases that could help the environment by saving oil and cutting greenhouse gas emissions, he said."
The savings provide an extra incentive for consumers to trade in gas guzzlers, a trend that's already in full bloom.
"It's probably not going to make that big of an impact on hybrid sales in Washington," said Bill Soholt, general sales manager of Toyota and Honda of Seattle.
Right now, depending on color and features requested, there's a two- to three-month waiting list for the Toyota Prius, Soholt said. "I don't have any hybrid units in stock unless they were pre-owned."
The tax break, which takes effect Jan. 1, applies only to new vehicles. It also only covers cars and trucks getting at least 40 highway mpg, which includes the Prius and hybrid Honda Civic, but not the Toyota Camry or hybrid SUVs.
"What this law does is it helps people save some money to get them to choose a car that's more fuel efficient -- and that's a good thing," said Don Fahnestock, an owner of The Green Car Co., a Bellevue business that sells extra fuel-efficient vehicles.
But it falls far short of encouraging the wide range of purchases that could help the environment by saving oil and cutting greenhouse gas emissions, he said."
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Path_o_Logic
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It's a good thing. It's a shame our national leaders haven't seen fit to provide tax breaks for people who buy fuel-efficient vehicles.
How many more people would buy hybrids if the cost were temporarily equalized through tax benefits? Such cuts would result in increased sales, which would increase the economies of scale and further reduce the cost of hybrids and other high-efficiency vehicles. At some point, the volume of sales will cause market equilibrium and government support can stop.
And this is what would be happening if we had a functioning government that was focused on serving we, the people.
- 3 years ago
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Path_o_Logic
