Can anyone explain to me about green/eco tax ?

Answer 1

Carbon taxes are the best example of a green/eco tax. The idea is that you tax things that release CO2. The most common examples would be fossil fuels, but there are other things like concrete manufacture that also releases considerable CO2.

The way this would work is that other forms of taxes would be reduced, for example income taxes could be cut. Then taxes would be raised on things that release CO2. That would raise the price of those things and thereby encourage people to try to conserve or to use alternatives.

The net effect of such a tax is to greatly improve the environment, also it would create new jobs in industries that would spring up to offer alternative products.

Answer 2

There are a number of forms this can take. First, there are cap and trade pollution and CO2 emissions programs, which are often somewhat erroneously dubbed "green taxes" since companies that don't comply must pay certain fines.
A more common form that's much closer to a real tax is the creation of public benefit trust funds that are funded via a small surcharge on your power bill. The trust money is then used to fund renewable energy projects or incentive programs.
In many of the European countries, something approaching a sales tax is added to each person's power bill, which goes to pay for the more expensive renewable energy.

Other types of "green taxes" refer to fees or deposits companies pay when they sell something that is difficult to dispose of (like batteries or computer parts).

The government has long used tax code to influence business and consumer behavior.

Answer 3

In my country Germany we pay on gasoline an Eco-tax. The intention of the former government was, to promote cars with low fuel consumption and therefore low CO2-output and the money was needed for the pension funds.

Answer 4

1st thing what is that ?