Luxury Tax
12-10-2002, 09:42 PM
#2
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E500W '03, Porsche Cayman S '06
Please correct me if I'm wrong, but to my understanding, Luxury Tax will be 3% of the amount over $40,000 of the purchase price for the year 2002.
The Luxury Tax will no longer be applied as of January 1 2003.
On a new E500 at ~$62000
The LuxTax would be 3% of $22000
or $660
Hope this helps.
The Luxury Tax will no longer be applied as of January 1 2003.
On a new E500 at ~$62000
The LuxTax would be 3% of $22000
or $660
Hope this helps.
12-10-2002, 09:51 PM
#3
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E-500
The luxury tax and gas guzzler tax are two different things.
1. The luxury tax will be gone as of Jan 1.
It may be a good idea to not take delivery until Jan 1 or 2. Tell your dealer you are unexpectly out of town until New Years if you have a delivery scheduled in the next couple of weeks
2. The gas guzzler tax is charged according to horse power rating of the car...thus..E-500 pays gas guzzler and the E-320 does not.
If you have waited this long for your car surely you can wait another 20 days for $650.
You could add a wood steering wheel with the tax you save.
Of course I couldn't nor could many of us. But...we did have a little longer to wait until New Years.
Ed
1. The luxury tax will be gone as of Jan 1.
It may be a good idea to not take delivery until Jan 1 or 2. Tell your dealer you are unexpectly out of town until New Years if you have a delivery scheduled in the next couple of weeks
2. The gas guzzler tax is charged according to horse power rating of the car...thus..E-500 pays gas guzzler and the E-320 does not.
If you have waited this long for your car surely you can wait another 20 days for $650.
You could add a wood steering wheel with the tax you save.Of course I couldn't nor could many of us. But...we did have a little longer to wait until New Years.
Ed
12-10-2002, 10:18 PM
#4
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2003 E500
Actually the gas guzzler tax is set by the IRS, based on the EPA-measured "combined" city/highway fuel economy, rather than horsepower.
The tax moves up/down with a 1mpg change, thus a car with a combined rating between 15.5 and 16.499(repeating) mpg pays the next higher rate of tax than a car with a combined rating between 14.5 and 15.499999(etc)
The specific table can be found at http://www.fueleconomy.gov/
The tax moves up/down with a 1mpg change, thus a car with a combined rating between 15.5 and 16.499(repeating) mpg pays the next higher rate of tax than a car with a combined rating between 14.5 and 15.499999(etc)
The specific table can be found at http://www.fueleconomy.gov/
