| Energy Tax Act |
Article Index for Energy |
Website Links For Energy |
Information AboutEnergy Tax Act |
| CATEGORIES ABOUT ENERGY TAX ACT | |
| 1978 in law | |
| united states federal taxation legislation | |
| united states federal energy legislation | |
| SHOPPER'S DELIGHT | |
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This law gave an Income Tax credit to private residents who use Solar , Wind , or Geothermal sources of energy. The credit is equal to 30% of the cost of the equipment up to $2000, as well as 20% of costs greater than $2000, up to a maximum of $10,000. There were also tax credits to businesses for renewable energy equipment, amounting to a maximum of 25% of the cost of the equipment. The Energy Tax Act also created the Gas Guzzler tax {Link without Title} which applies to the sales of vehicles with official EPA-estimated Gas Mileage below certain specified levels. In 1980 , the tax was $200 for a fuel efficiency of 14 to 15 Miles Per Gallon , and was increased to $1800 in 1985 . In 1980, the tax was $550 for fuel efficiencies of 13 mpg and below, and was changed in 1986 to $3,850 for ratings below 12.5 mpg. The Gas Guzzler tax only applied to cars under 6,000 pounds, which made SUV s and other large Passenger Cars exempt from this tax, thus increasing the latter's popularity. The renewable energy credits of this law were increased by the Crude Oil Windfall Profits Tax Act of 1980 . EXTERNAL LINKS
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