bitkahuna

iTrader: (20)

http://news.bbc.co.uk/2/hi/in_depth/629/629/7293011.stm

wow...

hapaboy

i wonder what the 'showroom tax' is? hehe

this got me thinking about my upcoming registration fee. california should reverse it's policy on registration fees, making it cheaper in the beginning and more expensive as the car get's older. but i guess some things are backwards here.

Big Andy

They have based annual road tax on CO2 emsissions for a while now but they have announced new bands and heavier taxes for vehicles that emit more than 225g/km - that includes all the Lexus models except the IS250 auto and the IS220d. My IS250 auto will stay around the £300 a year mark while some smaller cars pay only £35 or so.

The people laughing are the BMW owners who will see their bills reduce due to their cars' low CO2 emissions. Lexus/Toyota need to get their finger out and sort it.

pingu

That is a horrible idea. Do you know how many classics would be scrapped because of that.

mmarshall

I wonder if the article was a typo and if they meant CO, not CO2. Carbon dioxide (CO2), outside of the so-called "greenhouse" effect (which is mostly nonsense), is a relatively harmless substance.....in fact, green plants absorb it and give off oxygen in return. CO (Carbon monoxide), on the other hand, is a highly toxic substance produced by almost all gasoline-burning engines....a tax on CO would make much more sense.

Big Andy

No, they do mean CO2 (carbon dioxide), a greenhouse gas alleged to contribute to global warming (Kyoto Treaty, anyone?). All car taxation in Europe is based around CO2 emissions now, and company car drivers are taxed on the basis of their vehicle's CO2 output.
With catalytic converters very little CO (carbon monoxide) gets out of the tailpipe these days.

We also exhale CO2 when breathe - hence I have typed this reply while holding my breath to do my bit for global warming today.

bitkahuna

iTrader: (20)

Very interesting. But several Lexus over here meet the highest levels of 'clean' output (SULEV?) and I thought BMW's didn't - maybe it's different standards?

Big Andy

Well that's the thing - SULEV doesn't mean a thing here - there are various levels called Euro 5,6 etc that new cars have to meet as a matter of course. e.g the Lexus IS diesel meets Euro 5 diesel regs, but its CO2 output is higher than the equivalent BMW diesel. So if you are choosing a company car the BMW probably saves you $80 - $100 a month in your pay packet through lower tax banding. It's complicated but, basically, they take the price of the car new and a percentage of its cost counts as taxable income - the lower the CO2 output, the lower that percentage.

SLegacy99

Good for the Lexus H division I guess.

I for one would like to see mandatory direct fuel injection of engines in the States, by 2015. Yes, less fuel burned (always a plus), but equally important is the lowered emissions due to burning less fuel. The street I live on is quite busy and quite polluted.

bitkahuna

iTrader: (20)

Big Andy - Very interesting. How much do you think that hurts Lexus sales there?

bitkahuna

iTrader: (20)

By 2015 all new cars will probably be direct injected anyway. Doesn't do anything for older cars still on the road though.

Big Andy

The "user chooser" company car drivers weren't really catered for by Lexus before the IS220d came out and they now make up the majority of Lexus you see on the road. IS250 autos are not too bad since they fall under the 225g/km of CO2 level as well. IS250 manuals, GS350s and 430s are slated to be taxed more heavily now so they are not a good choice.

The RX400h and GS450h have enjoyed a lot of popularity recently, particularly in London, where they were exempt from the congestion charge. Although they now do pay the $15 dollar a day charge they suddenly became more popular when it looked like the ex-mayor was going to increase the congestion charge to $50 a day for vehicles emitting more than 225g/km. This covered all the big SUVs and larger cars so a lot of people bought RX400hs because they still were in the cheaper charge bracket. The increase in the congestion charge has been cancelled by the new mayor so that imperative isn't there anymore.

LS460 owners have enough money not to worry too much about fuel bills or road tax changes so I don't suppose their sales (which were very small anyway) have changed.

The Lexus IS220d is an ok car but its CO2 output is still higher than the competition and its mpg is not that good. BMW have really scored with their 118d, 320d and 520d models. They combine low CO2 output (and hence low tax) with 50+ mpg and decent performance. The Audi A4 2.0Tdi models are also very popular. The BMW 3 series is now one of the best selling cars and most of those you see on the road are 320ds.