31 May '15, 7pm

Why it’s a bad idea to tax people for every mile they drive

Why it’s a bad idea to tax people for every mile they drive

The U.S. is struggling to fix its crumbling transportation infrastructure . National highway and public transit spending is supported by the federal gasoline tax, which now stands at 18.4 cents per gallon. It hasn’t been raised to keep pace with inflation since 1993. States have their own gas taxes, which fund state highways. Like federal gas taxes, these are not set up to automatically increase with inflation, and so they perpetually fall behind. As Governing magazine noted in November, “Twenty-four states haven’t touched their gas tax rates in more than a decade, according to left-leaning Institute on Taxation and Economic Policy. For 16 of those states, the last change was more than 20 years ago.” In addition to the declining real value of gas taxes, Americans are driving less and are driving more efficient cars, meaning they consume less gas per capita. All that togeth...

Full article: http://grist.org/climate-energy/why-its-a-bad-idea-to-tax...

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