purchase tax

American  

noun

British.

1. a sales tax on nonessential and luxury goods.

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purchase tax British  

noun

1. a tax levied on nonessential consumer goods and added to selling prices by retailers

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Etymology

Origin of purchase tax

First recorded in 1935–40

Example Sentences

See Examples For:

purchase tax

Sales have slowed after the expiration of the federal EV purchase tax credit in September.

From Barron's ● Jun. 18, 2026

What’s more, Americans lost the $7,500 federal EV purchase tax credit in September.

From Barron's ● May 20, 2026

A reduction in subsidies and a 5% purchase tax hike on EVs are expected to slow market momentum.

From The Wall Street Journal ● May 19, 2026

The reduction in government subsidies and a 5% purchase tax hike on EVs are expected to slow market momentum, following a high base with demand pulled forward into 2024-2025.

From The Wall Street Journal ● May 6, 2026

Many EVs are leased, a legacy of how the federal government’s former $7,500 purchase tax credit was administered.

From Barron's ● Apr. 7, 2026