Automobile Fuel-Economy Act

Automobile Fuel - Economy Act - Imposes a graduated excise tax on all passenger automobiles sold by the manufacturer based upon the fuel efficiency rate of such automobile. Increases annually over an eight year period the fuel efficiency rates required to avoid imposition of the taxes.

Imposes a floor stock tax on any passenger automobile which was sold by a manufacturer and is held for sale by a dealer on the annual day on which fuel efficiency requirements are increased. Bases the amount of each tax on the difference between the annual rates.

Directs the Secretary of the Treasury to pay to each individual who purchases a new fuel efficient automobile an amount determined by the fuel efficiency rate of such automobile. Increases over a six year period the fuel efficiency rate necessary to receive a payment.

Permits an individual to receive only one such payment during the one year period following the purchase of a fuel efficient car.

Requires the basis of any new passenger car with respect to which a fuel efficiency payment has been made to be reduced by the amount of such payment.

Directs the Administration of the Environmental Protection Agency to establish test procedures to determine the fuel efficiency rates of passenger automobiles sold within the United States.

Amends the Automobile Information Disclosure Act to require the inclusion of the fuel efficiency rate and the tax imposed on the automobile for such rate to be included on every label required to be affixed to such automobile.

Prohibits the altering or adjusting of any passenger automobile if such action would lower the fuel efficiency rate at least 20 percent.

Imposes a civil penalty of $1,000 for each such violation.

Establishes, within the Treasury of the United States, an Energy Research Trust Fund. Directs the payment of a certain amount of the taxes collected under this Act into the Fund.

Directs annual payments from such Fund of $500,000 to the Council on Environmental Quality and $1,000,000 to the Water Resources Council.