Quote:
Originally Posted by NJSPEEDER
The auto industry doesn't really need "tax breaks" so to speak, the government just needs to get rid of many of the stupid taxes that are special, just for the auto industry.
1. If you buy a car anywhere in the world you have to pay your home states sales tax to register it, why? This is not done with any other item of any kind, why would you prevent anyone from saving their hard earned on something so expensive?
2. Luxury tax on your way to get to work? Funny, I can buy a $30million home and pay the same tax rate as someone buying a $100k home, but if I want a car that cost $40k or more or a truck that costs $50k or more, I get stabbed in the eye with an extra 2%. WTF?
3. Gas Guzzler Tax. If a "passenger vehicle"(something that the government can't define clearly but is wiling to tax) gets under MPG tier X, you get to pay extra percentage on it Y. Sound like fun? Cause the taxes start at 25 MPG depending what kind of vehicle it is. BTW, a quad cab Colorado is a "passenger vehicle" but a standard cab is a "compact truck", according to the government, one taxed, one not. lol
If they made cars just like everything else, just paying sales tax where ever you buy it and call it a day, the savings to consumers would be hundreds of millions a year. Wanna encourage the economy, make it so people can afford to shop for big ticket items that employ dozens of people at a time to manufacture.
/rant
-Tim
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The sales tax is based on the state, not the federal level, so states enforce the tax issue on cars because of the dollar value attached. Requiring tax only in the state you purchase it in would turn consumers to travel to other states with lower taxes to purchase cars, thus taking it out of the pocket of the state you live in, or the ones with the higher sales tax rates.