RevTo9K

As has been discussed on this forum many times, the current EPA testing for fuel economy does not accurately reflect real-world driving conditions (I seem to recall that the tests reflected an average 0-60 time of over 16 seconds, plus some other outdated assumptions).

The EPA is going to change the tests a bit to try to get closer to reality. Read more here - from Motor Trend.

"The new tests under consideration would include one with speeds as high as 80 miles per hour, another run under hot conditions with the air conditioner on, and a third at 20 degrees Fahrenheit. In internal EPA studies, those tests reduced fuel efficiency by between 12 and 29 percent."

dos

Thats good to hear, its about time they updated their testing.

therm8

Unfortunately, this would be likely to put a Renisis powered car into gas guzzler tax area

Spin9k

Or maybe not, I find my 8 gets best gas mileage going faster esp on the interstate, even w/air on. The new rules may actually help...

FamilyGuy

It would put a lot of cars into gas guzzler tax area.

I figure the automakers will either band together to legally or illegally work against the move, or else we'll be seeing a lot of more efficient/detuned/hybrid models on the road.

therm8

If they would only remove the suv/truck exemption from the gas guzzler tax, the world would be a better place.

MassiveAttack

I'm guessing that they would lower the criterion for being a gas guzzler, once they see how bad the impact is. CAFE rules would surely change too.

Gambit

And a lot less GIANT SUV's

Gambit

THERE'S AN EXEMPTION!!!!!! why!!! I can understand like a semi or a dump truck...but not somebody's expedition they "need" to carry a load of groceries home.

aggietiff28

I often wondered that. I didn't know there was an exemption, but I knew that if you bought a Viper that got 8-10 miles per gallon you had to pay the tax, whereas, if you bought a one ton dually pick-up that got the same gas mileage, you didn't have to pay the tax. Interesting tidbit of information. It would be nice to see less HUGE SUVs and trucks on the road here in Texas, especially those that are daily drivers for city commuting??? Never quite understood the reasoning behind that.

MassiveAttack

Read this for a few facts about the gas guzzler tax:

CBO 2003 Budget options

FamilyGuy

The gas guzzler exemption for trucks and SUVs (and vans and minivans, I believe) was originally created to protect small business owners.

Otherwise contractors, landscaping companies, plumbers, electricians, delivery services, and just about every other business which moves around big deliveries or big pieces of work equipment is going to have to pay the gas guzzler tax on each vehicle. So removing the exemption completely is going to hurt small businesses a little.

Plus, the gas guzzler tax isn't that high. What is it, $1,000? Do you really think someone that just spent $65,000 for a loaded Cadillac Escalade or even $37,000 for a Toyota 4Runner is going to care about an extra $1,000? I doubt removing the exemption would reduce large truck and SUV sales that much.

Don't get me wrong, I want the exemption removed. I just don't think it will do that much to reduce the number of big vehicles on the road.

MassiveAttack

The tax is anywhere from $1000 to $7700, depending on fuel mileage (45% hwy, 55% city of EPA estimates). Try this for reference.

Anyway, FWIW, I think "yes" SUV buyers would care about $1000 (probably more like $3000). My car cost nearly $30000, and I would have cared about even an extra $250... Besides, the feds could put in exemptions for the tax or a possible credit if the vehicle is used for business purposes.

--Massive

FamilyGuy

Thanks for the link! I thought the tax was always just $1,000. I agree that paying an extra $250 on a $30,000 car is a big deal.

I'm thinking of those vehicles, like a King Ranch fully loaded F-250, which can run in the mid $40,000 range. Or the Volkswagen Toureag, the Infiniti QX56, the Cadillac Escalade, the BMW X5, the Mercedes G Class, or the Hummer H2. The cheapest vehicle in that lineup is well over $40,000, and I just can't fathom spending that kind of money for that kind of vehicle. To my mind, somebody foolish enough to buy one of those wouldn't care if he paid an extra $5,000 in taxes.

The CEO where I work drives the Porsche Cayenne turbo that never goes off road or tows anything. It's a freakin' $90,000 SUV that serves as a day driver. I just don't get it. If I could afford it, I would spend $90,000 on a Porsche 911 in a heartbeat. But on an SUV? The man must be crazy. There are dozens of world class, FAST, ultra luxurious cars available for that kind of money, and he picks a $^&)$^*&)$%( truck.


And the problem with the business exemption is that it's a loophole. All of a sudden, half the SUV owners in the country will be classifying their day driver as a work vehicle. It would be cheaper to pay an accountant $500 to add a few pages to your tax return describing a weekend business than it is to pay $3000 in gas guzzler tax.