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I'm off to the dealer tomorrow, and have come up a spec that I think works for me. Given some of the threads on here I decided just for fun to compare the price that it'll cost here in the UK to that according to the US configurator. The following is for a T6 R-Design.

Code:
Item			UK		US		Diff
Base Price	 	$80,018 	$53,800 	$26,218
Bursting Blue	 	$1,500 	 	$560 		$940
Winter/Climate Pack	$638 	 	$800 		$-163
Rear Seat Climate	$1,350 		incl in Base 	$1,350
Air Suspension	 	$3,225 	 	$1,800 		$1,425
Rear Camera	 	$600 	 	incl in Base 	$600
Heated Rear Seats	$450 	 	incl in Climate $450
TOTAL		 	$87,780 	$56,960		$30,820
Here in the UK we have 20% tax (VAT) included in those prices, and I've used 1.5 as the FX rate. Not sure if in the US you are subject to paying any further sales tax on those prices from the website? If that is the true US consumer cost, then even stripping out the UK VAT means we're so far above.

This is nothing new, nor is it different to every other car on the market. Different markets are always different prices. Its just interesting to do the math(s).
 

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Not sure if in the US you are subject to paying any further sales tax on those prices from the website?
We are subject to state sales taxes on the sale amount (can vary from state to state. Ex: anywhere from 4-9%). However, most states offer a trade in credit, where the taxable value of the car is the sale price net of the trade-in value.
 

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We are definitely very lucky here in the U.S when it comes to car prices. I'm shocked by how much higher the same vehicle is in some other countries.
 

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In the United States of Inconsistency ... taxes on new vehicles are quite different based on where you live and register the vehicle.

In general most states (45) charge a sales tax (VAT) on the price of the vehicle. In some states there are also additional local taxes (county / municipality). In many places the total tax burden exceeds 10%.

In some states you can deduct the value of a "trade-in" from the purchase price of a new vehicle and only pay the tax on difference. And in some states - that is only allowed where you trade your vehicle in with the dealer you are purchasing the new vehicle from (e.g., you can't sell your car to your brother and then buy a new car, deducting the monies you got from your brother from the new car price for taxation purposes).

Some places you also have an excise or property tax liability issue as well - and in some cases that is assessed on an annual basis. (And separate from other taxes and fees for registration, etc.)

For example, that USD $56,960 new car purchased outright in Massachusetts would cost $3,560 one-time sales tax (6.25%) paid to the state. After registering the vehicle you will also receive an invoice from the municipality for tax of $25 per $1000 - in the first year the full value of the vehicle: $1,424. (And then in subsequent years you again pay the excise tax for the devalued value of the vehicle.)

This is still a far cry from the +/- 20% VAT rates you have in Europe.

I think on the plus side - in many countries in Europe with the Green Car Initiative you have better schemes for PHEV (electric plug-in vehicles) tax relief than is available in the US.
 

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Ireland's new car purchase taxes go up to 111%. The annual Road Tax goes up to $2,500+. Gasoline and diesel are nearly $8 per US gallon. Income tax reaches 55% on what are middle incomes by US standards.:mad:

But poor little Apple pays 2% corporation tax here. Amazingly, Apple makes most of its money in Ireland, about a billion dollars per employee at its Cork factory, which I can almost see from my house. We Corkonians are the world's most productive workers!:angryfire:

End of rant. Normal service will now be restored. Thank you all.:)
 

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Ireland's new car purchase taxes go up to 111%. The annual Road Tax goes up to $2,500+. Gasoline and diesel are nearly $8 per US gallon. Income tax reaches 55% on what are middle incomes by US standards.:mad:

But poor little Apple pays 2% corporation tax here. Amazingly, Apple makes most of its money in Ireland, about a billion dollars per employee at its Cork factory, which I can almost see from my house. We Corkonians are the world's most productive workers!:angryfire:

End of rant. Normal service will now be restored. Thank you all.:)
You know, if you raise those taxes Apple will pull all of their money from there - problem solved!
 

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Ireland's new car purchase taxes go up to 111%. The annual Road Tax goes up to $2,500+. Gasoline and diesel are nearly $8 per US gallon. Income tax reaches 55% on what are middle incomes by US standards.:mad:

But poor little Apple pays 2% corporation tax here. Amazingly, Apple makes most of its money in Ireland, about a billion dollars per employee at its Cork factory, which I can almost see from my house. We Corkonians are the world's most productive workers!:angryfire:

End of rant. Normal service will now be restored. Thank you all.:)
My wife is British and my family is from Italy so we travel back to Europe often. She moved from London to be with me in NYC when we got married. She misses home badly, even 6 years later, but when you look at cost of living, it isn't even close. London makes NYC look like it is Des Moines Iowa. Europeans are fleeced. It is downright theft from the government. My only question is why do so many people happily put up with it. I guess other lifestyle factors outweigh the cost. To each their own.

My father-in-law in Oxford looked at the same XC90 I just bought and it was US $32,000 more LOLOL
 

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My wife is British and my family is from Italy so we travel back to Europe often. She moved from London to be with me in NYC when we got married. She misses home badly, even 6 years later, but when you look at cost of living, it isn't even close. London makes NYC look like it is Des Moines Iowa. Europeans are fleeced. It is downright theft from the government. My only question is why do so many people happily put up with it. I guess other lifestyle factors outweigh the cost. To each their own.

My father-in-law in Oxford looked at the same XC90 I just bought and it was US $32,000 more LOLOL
In return of this "government theft" we get excellent benefits from the social security system (at least in Sweden)...free healthcare, universities, school, social security net, unemployment payments etc. I work for the government, they pay my salary out of this "theft" so I'm quite happy :D
 

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Amazingly, Apple makes most of its money in Ireland, about a billion dollars per employee at its Cork factory, which I can almost see from my house. We Corkonians are the world's most productive workers!:angryfire:
How do you figure that Apple makes most of its money in Ireland? I'm pretty sure most of the profits come from the US, followed by China and Europe (as a whole). Has the government provided favorable tax breaks in Ireland? Sure.
 

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@cochese
It's a tax re-route, Apple and other companies are using. Of course they don't do the final business in Ireland.
 

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.... My only question is why do so many people happily put up with it. I guess other lifestyle factors outweigh the cost.
First we're all grown up by the culture, habits and political systems of our own country, whether it's the US, Canada or one of the European countries.

The European system works quite well for about 80% of the population. They pay (some) tax, but get a lot of benefits and free services. You could see their tax payment as a kind of money pump. End of the year they got more – in any form – than they have paid for. The last 20% of the population is merely funding all these benefits. They pay huge taxes, but don’t get (all) the benefits. The figures are different for each European country, while all tax systems are different, but that’s the big picture.

While the XC90 is an expensive car merely all European owners are part of this 20% volume of households.
 

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You know, if you raise those taxes Apple will pull all of their money from there - problem solved!
Though Tim Cook says they wouldn't. Anyway I'd much rather LOWER the other tax rates and recoup the revenue through the economic growth lower tax rates promote. High earning individuals pulling out or staying out is our problem right now, as even our government has had to admit. But jealousy is stronger in Ireland than in the USA and other countries. It ain't green-eyed for nothing!

Incidentally, though Ireland's tax rates are as high (or higher than) Sweden's and the handful or other very high tax Western European countries', we do NOT get anything like their Government services.
 

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Though Tim Cook says they wouldn't. Anyway I'd much rather LOWER the other tax rates and recoup the revenue through the economic growth lower tax rates promote. High earning individuals pulling out or staying out is our problem right now, as even our government has had to admit. But jealousy is stronger in Ireland than in the USA and other countries. It ain't green-eyed for nothing!

Incidentally, though Ireland's tax rates are as high (or higher than) Sweden's and the handful or other very high tax Western European countries', we do NOT get anything like their Government services.
It's been proven time over that lower tax rates do not help, all they do is enable corporations to country shop like Apple has done. I'll stick to living in Norway with it's high tax and all the benefits that come with it over being fleeced in the US for service that should be provided by the govt. A reasonably well specified XC90 in Norway will set you back 80,000 pounds.
 

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It's been proven time over that lower tax rates do not help, all they do is enable corporations to country shop like Apple has done. I'll stick to living in Norway with it's high tax and all the benefits that come with it over being fleeced in the US for service that should be provided by the govt. A reasonably well specified XC90 in Norway will set you back 80,000 pounds.
Surprisingly, I totally disagree!
 
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