TodayApril 16, 2022

Fox Business News: cash for clunkers

Fox Business News Happy Hour

Lou Ann Hammond, CEO, talks to Cody Willard, Rebecca Diamond, and Eric Bolling, the hosts of FOX Business Happy Hour!

One doesn’t think about all the taxes and fees associated with buying a car, but there are plenty, especially in California.

The California legislature can’t pass a tax without a 2/3 vote, but they can still tack on fees.

Current Registration: 31.00
Current California Highway Patrol: 22.00
Current Vehicle License Fee: 323.00
Current Fingerprint ID Fee: 1.00
Current Smog High Polluter Repair Fee: 6.00
Original Smog Abatement: 6.00
Alt-Fuel/Tech Smog Fee: 8.00
Current Auto Theft and/or DUI Crime Deterrence Program: 1.00
Current Air Quality Management District: 6.00
Alt-Fuel/Tech Reg Fee: 3.00
Use/Sales Tax: 2,310.00
Reflectorized License Plate Fee: 1.00
Total Registration Fees: $408.00
Total Use/Sales Tax: $2,310.00
Grand Total Registration Fees: $2,718.00

I know that all cars won’t be sold in California and there are some states that don’t have sales tax. But for argument’s sake, let’s say that they all were and that there were 225,000 sold in California.

That’s about $600 million of the $1 billion back right away!

60 cents on the dollar, into cities, counties, and states right away. It’s less than that nationwide, but this money has stimulated the economy.

The consumer will save about 300 gallons of gasoline, or about $900 a year.

According to Automotive News, “Chrysler Group shed 58,600 units last month or 30 percent, and its day’s supply fell to 40, from 71 on July 1.
Ford Motor Co.s inventory slid to 48 days, from 57 on July 1. General Motors was at 64 days, down from 82; Toyota Motor Sales U.S.A. was at 29, from 47; and Hyundai-Kia was at 26 days, down from 49 began combining inventory figures for cars.”

Lou Ann Hammond

Lou Ann Hammond is the CEO of Carlist and Driving the Nation. She is the co-host of Real Wheels Washington Post carchat every Friday morning and is the Automotive, energy correspondent for The John Batchelor Show and a Contributor to Automotive Electronics magazine headquartered in Korea. Hammond is a founding member of the Women's World Car of the Year #WWCOTY, and board member of the Women in Automotive.