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Taxing Fuel Efficiency. Electric & Hybrids To Be Taxed More

by James Denison / January 8, 2013 5:23 AM PST

LOL, I've just been waiting to see something like this happen. No matter how much a person does to encourage and increase efficiency and lessen consumption of a resource, the govt will always be there to penalize it with higher taxes.

"Have you ever heard of the vehicle miles traveled tax? No? Well get
ready to hear more about it, because the vehicle miles traveled tax, or
VMT, is the latest way states are looking to make up for falling gas tax
revenues.

Starting in February the state of Washington will tax electric
vehicle owners $100 per year. The money raised will
go to the state's road maintenance fund. In essence, Washington wants
electric car owners to pay $100 for the privilege of driving around the
state.

Supporters of VMT or per mile taxes point out that electric
car and even hybrid car owners are paying nothing or very little to help
maintain state roads. If somebody drives an internal combustion car that gets 30
MPG and they average 12,500 miles driven each year, they'll pay about
$154 a year in state gas tax. By comparison, electric car owners will be
paying less at just $100 per year.

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Saving energy will cost more in dollars

That's nothing new. The same goes for the recycling of all kinds of products. An entire industry has been created by recycling and those people want to be paid.

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what this move says, is...
by James Denison / January 8, 2013 7:03 AM PST

...that if you drive less than the average number of miles per year, you are better off buying a non-hybrid and non-electric car. Not only will the upfront cost be less, but the yearly tax cost will too. I don't know where that cutoff would be exactly but I think retired people who drive 5K miles or less per year in states which implement the VMT would do best having gasoline only type cars.

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And if Obama's 50+ mpg requirement happen
by Steven Haninger / January 8, 2013 9:39 AM PST

gasoline powered cars would have the same effect.

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think I've heard of it before, not surprised
by Roger NC / January 8, 2013 8:34 AM PST

the states have their gas tax paying for road maintenance mostly, and as gas usage goes down, so does their revenue.

So you have choices......

Worse roads

Higher gas tax which punishes one segment more than the other.

Or a milage tax to add the same cost to everyone, ratio wise.

Of course, they're not going to replace one with the other, so if vehicles with higher gas usage on the road, even if needed, will be penalized more.

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Unfortunately
by TONI H / January 8, 2013 7:19 PM PST

Although the state tax and the Fed tax already being put onto the price of fuel and that money supposedly going toward fixing the 'infrastructure', BO isn't happy with that and has campaigned for five years on 'investing' in that very thing......but when he gets the money, like the infamous stimulus, he spends it on crap instead of what he campaigned on.

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not disputing, in fact roads, bridges, airports, etc
by Roger NC / January 8, 2013 8:05 PM PST
In reply to: Unfortunately

is what I would have rather most of the stimulus money had gone to.

However, this is a state tax issue.

I don't think when it happens it'll stay just a tax on electric/hybrid cars. I think it'll end up every vehicle being taxed by miles and gas in the end.

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I realize that it's a state tax issue
by TONI H / January 8, 2013 8:57 PM PST

I'm just saying that the extra tax they are looking for is being touted as being for infrastructure, and yet the Feds are trying to also gather new taxes based on the same thing.......why the double taxation for infrastructure? Whose responsibility IS it or is it a 'shared' expense so the Feds can justify their additional tax or stimulus do-over? Even with State toll roads, that money was supposed to be for maintenance of the state highways once the toll road was paid for and that tax was supposed to end.....unfortunately, once a tax is in place and the states or feds get used to getting that money, it never goes away as promised.

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chicago and new jersey
by James Denison / January 8, 2013 9:13 PM PST

they are the worst for never removing a toll road, even long after it was paid for.

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