MANAGEMENT

BUISENESS MANAGEMENT

TAXES

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Why might a country tax cars based on their engine size?
A
They want to encourage the purchase of solar powered vehicles
B
Larger vehicles may generate more pollution and use more gas.
C
They want to encourage greater public transport use
D
They want to discourage red necks & hoons who usually buy large cars.
Explanation: 

Detailed explanation-1: -What is the main reason for vehicle pollution? Burning excess amounts of gasoline and diesel fuel creates harmful byproducts like nitrogen dioxide, carbon monoxide, hydrocarbons, benzene, and formaldehyde. In addition, vehicles emit carbon dioxide, the most common poisonous greenhouse gas.

Detailed explanation-2: -Burning fossil fuels like gasoline and diesel releases carbon dioxide, a greenhouse gas, into the atmosphere.

Detailed explanation-3: -Currently cars with engine capacity exceeding 1500 cc, length exceeding 4000 mm and having ground clearance of 170 mm attract a GST of 28% and a 22% cess, taking the effective tax rate to 50%.

Detailed explanation-4: -Vehicles introduce toxic materials into the atmosphere that have several bad effects on human health and the ecosystem. Examples of such pollutants include Carbon monoxide, Hydrogen, Nitrogen Oxide, particulate matter, Ammonia and Sulphur Dioxide.

There is 1 question to complete.