A skid steer vehicle has a drive system that includes a hydraulic motor coupled to a speed-reduction gearbox. One or more drive shafts extend fore-and-aft from the gearbox and are coupled at each end to two axle housings. Each axle housing includes two reduction gear sets and an axle. Each of the axles extends outward from the vehicle and a wheel is fixed to its outer end. A spur gear on a parallel shaft inside the axle housing engages a spur gear on the axle and drives it to provide one gear reduction. A bevel gear in the axle housing engages a bevel gear on the parallel shaft to provide another gear reduction. The vehicle has a drive system located on each side of the vehicle to collectively drive four wheels.