Why do countries add a tax onto “luxury vehicles”? Just seems like another way to sting the customer another unnecessary tax?
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>Why do countries add a tax onto “luxury vehicles”? Just seems like another way to sting the customer another unnecessary tax?
A luxury item is, by its very nature, unnecessary, u/Peachy021.
In this line of thinking someone who **still** insists on purchasing a luxury item and thus burden a society’s productive output unnecessarily is taxed while someone purchasing only necessary items is not taxed.
These kinds of taxes generally encourage resource conservation while at the same time not putting a burden on those who cannot afford to be burdened any more. That can make them a very desirable kind of tax.
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