Gas tax may be next Tea Party target

[Meiac09]

I think that gas has become too much of an indicator to economic well being - specifically having cheap gas. A hike would cause too much of a wave, but another indirect tax (property tax on cars, tolls, etc.) would probably be more of an effective way to get our roads fixed. You can tell the difference between SC and GA roads, along with an 80 cent hike in prices.

[JCL]

Originally Posted by Meiac09

I think that gas has become too much of an indicator to economic well being - specifically having cheap gas. A hike would cause too much of a wave, but another indirect tax (property tax on cars, tolls, etc.) would probably be more of an effective way to get our roads fixed.

It doesn't seem very efficient to tax ownership of a vehicle, instead of something more directly related to the damage to roads caused by vehicles. Heavier, less efficient vehicles damage the roads more. And they consume more fuel. Your fuel tax is down by a factor of 9 or 10 from when it was introduced 18 years ago, simply due to inflation. To maintain the roads at the same rate as as in 1993 would require that the $0.18 per gallon tax be raised by that factor. No surprise that there are so many potholes and so much road congestion.

GM's proposal would make fuel more expensive, but it would also eliminate many federal regulations mandating fuel efficient vehicles, letting the market take care of it.

An alternative would be to introduce road usage fees, per mile, based on the weight of the vehicle. But that sounds like a harder sell, and more expensive to collect, than a fuel tax.

[Meiac09]

Originally Posted by JCL

It doesn't seem very efficient to tax ownership of a vehicle, instead of something more directly related to the damage to roads caused by vehicles. Heavier, less efficient vehicles damage the roads more. And they consume more fuel. Your fuel tax is down by a factor of 9 or 10 from when it was introduced 18 years ago, simply due to inflation. To maintain the roads at the same rate as as in 1993 would require that the $0.18 per gallon tax be raised by that factor. No surprise that there are so many potholes and so much road congestion.

GM's proposal would make fuel more expensive, but it would also eliminate many federal regulations mandating fuel efficient vehicles, letting the market take care of it.

An alternative would be to introduce road usage fees, per mile, based on the weight of the vehicle. But that sounds like a harder sell, and more expensive to collect, than a fuel tax.

My only reasoning to not tax fuel, would be that it has become such a market indicator. It isn't, and the difference between 3.099 and 3.129 gas is only that CNN and Fox can talk about it. I merely said get it from somewhere else. My home state has high sales, excise and gas tax, versus SC where I live now which has almost none except property tax on the car. Then again, SC roads are probably the worst that aren't subject to winters in the civilized world so there goes my argument.