No WA sales tax on 40+ mpg Jan 1

The law was passed in 2005 and takes effect Jan 1, 2009 and I believe ends in 2011. I have yet to find if it is only the state portion of the sales tax which is not collected with the city and county portion still having to be paid or if the law includes the entire sales tax.

 

This is great, someone have more info?

 

This is true. However it only applies to the Washington state portion of the sales tax. So it is 6.3% in savings.

The rest of the county or city sales taxes still apply. For example in King County (Seattle) there is still 3% in additional sales taxes for local stuff like transit and a few other things.

It begins Jan 1st, 2009 and expires Dec 31st, 2010. Two full years of 6.3% off on all vehicles that get over 40 mpg.
Also electric and other alternative fuel vehicles qualify.

 

I got the info from a Tesla owners email group. Someone had the full state law. The Washington state Tesla owners are VERY excited about the 6.3% tax savings. The Tesla Roadster is $109,000. In the state of Washington the Tesla will qualify for 6.3% in sales tax savings and the full $7,500 electric car federal tax credit that was in the bailout bill.

$109,000 X 6.3% = $6,800 savings on sales tax.
Federal tax credit = $7,500 off on 2009 tax return
Total state and federal tax savings = over $14,300

 

Except for the pesky part about lost revenue. Probably the best compromise is to do half of one and half of the other so it is revenue neutral. Then you get hit for the guzzler, you get paid for the sipper, and if you go middle of the road, you just coast on through. The taxes are still paid, and there is a consequence for doing the damaging thing (yes, even if you REQUIRE a damaging vehicle, it still damages), AND an incentive for doing the smaller footprint things.

That said, we should tax ALL cars that use gasoline!

 

there's an additional $4,500 that may be available for 2004 (or older), 18mpg (or less) trade-ins on new car purchases...

Congress considers ‘cash for clunkers’ proposal

Owners of old gas hogs would get $4,500 to have them taken off the road


updated 4:10 p.m. PT, Wed., Jan. 14, 2009

WASHINGTON - Congress is mulling a proposal to pay people to get rid of those old gas guzzlers sitting in their driveways.


Under legislation introduced Wednesday in both the House and Senate and called the "Cash for Clunkers" program, drivers could get vouchers of up to $4,500 when they turn in their old fuel-inefficient vehicles for scrapping and buy vehicles that get good gas mileage.


People could also turn in their old cars for vouchers that could be used to ride public buses and trains.
The bill, said Sen. Dianne Feinstein, D-Calif., "would be an important part of helping getting America's struggling automobile industry back on its feet, and help consumers who are concerned about covering the cost of buying a more fuel-efficient vehicle."

Taking gas guzzlers off the road, added Sen. Susan Collins, R-Maine, a co-sponsor, "would reduce our dependence on foreign oil, decrease greenhouse gas emissions and stimulate the economy."
The bill envisions the program operating for four years and encouraging the retirement of up to one million vehicles a year, saving between 40,000 and 80,000 barrels of motor fuel a day by the end of the fourth year.
Drivers would be eligible for reimbursement for purchase of a new or used vehicle with a fuel economy rating that exceeds federal targets for that class of vehicle by at least 25 percent. The vehicle must have a manufacturer suggested retail price of less than $45,000 and be a model year 2004 or later.


The vehicles turned in must be drivable, registered in the United States and have a when-new fuel economy rating of less than 18 miles per gallon.
In the first year of the program, a person trading in a vehicle that is model year 2002 and later would be eligible to receive $4,500 for purchase of a new vehicle, $3,000 for purchase of a used vehicle or $3,000 for transit fare credit. For model year vehicles 1999 to 2001, drivers would get $3,000 for the purchase of a new vehicle. Those who trade in vehicles that came out in 1998 or before could get a credit of $2,000 for a new vehicle.


"This is an even better trade-in offer than they could get from any car dealership," said Sen. Charles Schumer, D-N.Y., also a co-sponsor.
A person could obtain no more than one voucher in any three-year period. Dealers and scrap recycling companies could also get payments of $50 per vehicle. Initial estimates set the cost of the program between $1 billion and $2 billion a year.

 

ya figures... i bought an EV and did not get a dime back from ANYONE!!....

DAMN!!.... here i am suffering...need to start arranging a payment plan to pay for my $1.80 a week commuting cost...

then again, maybe not

 

http://www.ofm.wa.gov/budget09/highlights/default.asp

I read through highlights of budget and NO MENTION of removing the tax exemption on hybrid vehicles. The senate might meet again but probably not for a while, most are saying they will deal with other bills that did not get dealt with in December. This is the approved budget as of now though, from what I can gather.

If anyone finds anything different, PLEASE POST IT HERE!!

Otherwise, looks like WA state 2010 prius buyers are good to go and can hold out for what they want without risking tax cost!! WOHOOO!!!!:cheer2: