§4064 Gas Guzzler Tax

Summary

Manufacturers must pay a tax when they sell a new car. The tax depends on the car’s fuel economy (miles per gallon). If a model gets at least 22.5 mpg the tax is $0. At least 21.5 but less than 22.5 mpg: $1,000. At least 20.5 but less than 21.5: $1,300. At least 19.5 but less than 20.5: $1,700. At least 18.5 but less than 19.5: $2,100. At least 17.5 but less than 18.5: $2,600. At least 16.5 but less than 17.5: $3,000. At least 15.5 but less than 16.5: $3,700. At least 14.5 but less than 15.5: $4,500. At least 13.5 but less than 14.5: $5,400. At least 12.5 but less than 13.5: $6,400. Less than 12.5 mpg: $7,700. The rule covers 4-wheeled fuel-powered vehicles made mainly for public roads that are rated at 6,000 pounds unloaded gross vehicle weight or less. It does not apply to certain nonpassenger vehicles under earlier DOT rules or to some emergency vehicles (like ambulances or police cars). Definitions and how fuel economy is measured: Automobile — a 4-wheel fuel-powered vehicle for public roads, with the weight limit above and certain exceptions. Fuel economy — miles per gallon as measured by the EPA. Model type — the class of car set by EPA rules. Model year — the maker’s annual production period that includes January 1 (or the calendar year if none). Manufacturer — a producer or importer; anyone who lengthens a car is treated as the maker. EPA Administrator — head of the Environmental Protection Agency. Fuel — gasoline and diesel (other petroleum or gas products can be added by rule after DOT consultation). The EPA sets the testing and math used to find mpg, generally using the 1975 test mix (55% city, 45% highway) or similar methods, tries to test with emissions checks when possible, reports results to the Secretary, decides fuel equivalents, and must issue test rules at least 12 months before the model year they apply to.