Download this document in MS Word format
BILL AS INTRODUCED 2007-2008

AutoFill Template

S.35

Introduced by Senator Miller of Chittenden District, Senator Bartlett of Lamoille District, Senator Condos of Chittenden District, Senator Lyons of Chittenden District, Senator MacDonald of Orange District, Senator McCormack of Windsor District, Senator Mullin of Rutland District and Senator Starr of     Essex-Orleans District

Referred to Committee on

Date:

Subject:  Taxation; purchase and use tax; surcharge on heavy new cars and new cars with high fuel consumption

Statement of purpose:  This bill proposes to impose a surcharge of $300.00 on the purchase of new cars exceeding 8,500 pounds; and on new cars of lower weight, to impose a surcharge as follows:  $250.00 on cars with a fuel economy rating of 19 mpg or less, and $50.00 on cars with a fuel economy rating of 20 to 24 mpg.

AN ACT RELATING TO PURCHASE TAX SURCHARGE ON HEAVY OR HIGH-FUEL-CONSUMPTION NEW CARS

It is hereby enacted by the General Assembly of the State of Vermont:


Sec. 1.  32 V.S.A. § 8905a is added to read:

§ 8905a.  FUEL EFFICIENCY SURCHARGE ON NEW PLEASURE CARS

(a)  There is hereby imposed upon the purchase, lease, or registration of a new pleasure car a fuel efficiency surcharge as provided in this section.

(b)  For the purposes of this section:

(1)  “Fuel economy rating” means miles per gallon of fuel consumed, when vehicle use pattern is city driving only, as determined by the Administrator of the U.S. Environmental Protection Agency.

(2)  “Lease” means leasing of a pleasure car for a period of one year or more.

(3)  “Pleasure car” shall have the same definition as in subdivision 4(28) of Title 23.

(c)  Every person selling or leasing a new pleasure car in Vermont shall at the time of sale or leasing collect the fuel efficiency surcharge from the purchaser or lessee, and shall forward the surcharge to the commissioner in the same manner as the motor vehicle purchase and use tax.  Any pleasure car on which a fuel efficiency surcharge was due but not paid at the time of purchase or lease shall be subject to payment of the fuel efficiency surcharge at the time the original retail purchaser or lessee registers the vehicle in Vermont.

(d)  The amount of the surcharge shall be:

(1)  $300.00 for any pleasure car with a gross vehicle weight of more than 8,500 pounds; or

(2)  for any pleasure car with a gross vehicle weight of 8,500 pounds or less:

(A)  $50.00 if the fuel economy rating is more than 19 but less than 25 miles per gallon;

(B)  $250.00 if the fuel economy rating is 19 miles per gallon or less.

(e)  The fuel efficiency surcharge shall be collected, administered, and enforced by the commissioner of motor vehicles in the same manner as the purchase and use tax.

Sec. 2.  EFFECTIVE DATE

Sec. 1 of this act (fuel efficiency surcharge) shall apply to the purchase, lease, or registration of a new vehicle on or after July 1, 2007.



Published by:

The Vermont General Assembly
115 State Street
Montpelier, Vermont


www.leg.state.vt.us