Good afternoon,
I’d like to provide my opinion on the proposed luxury tax.
I have recently placed an order on a Tesla Model S. Without even the top options, this car comes to about $130K.
I have worked very hard and saved for some time, yet I am very much stretching my budget here in order to buy an electric vehicle. If the luxury tax comes into effect, I will not be able to afford the extra cost.
I should note that this particular car is on par, “luxury” wise, with gasoline powered cars in the $80-$90K range. I am paying the extra price difference to transition to a greener and more sustainable vehicle. If the luxury tax comes in, I will cancel this order and buy a comparable gasoline car under $100K.
I understand the perception may be that people who buy more expensive vehicles have money to burn. This may be true for some, but for many, the ability to buy a dream car is the culmination of years of hard work and savings. To punish people who have worked so hard towards a goal is not fair in my opinion.
Therefore, I’d like to register my opposition to the concept of a luxury tax. However, if such a tax is still going to be implemented, I recommend a couple of considerations:
1. In recognition that not all who buy these vehicles have “money to burn”, reduce the amount of the tax to something that might still be bearable for those who are saving up for their purchase. 10% on the amount above 100K might be more reasonable; and
2. Consider exempting electric vehicles, due to their positive environmental impact and higher cost of entry.
I thank you for your consideration.
