With gas prices so high, Obama administration floats mileage tax for cars

You would think that with gas prices already so high that there would be a backlash against even discussing this.

The Obama administration has floated a transportation authorization bill that would require the study and implementation of a plan to tax automobile drivers based on how many miles they drive.

The plan is a part of the administration's Transportation Opportunities Act, an undated draft of which was obtained this week by Transportation Weekly.

The White House, however, said the bill is only an early draft that was not formally circulated within the administration. . . .

The proposal seems to follow up on that idea in section 2218 of the draft bill. That section would create, within the Federal Highway Administration, a Surface Transportation Revenue Alternatives Office. It would be tasked with creating a "study framework that defines the functionality of a mileage-based user fee system and other systems." . . .



Blogger Raven Lunatic said...

Isn't there already a mileage tax, in effect? Last I checked, there's an 18.4¢/gal tax on gas, and 24.4¢/gal tax on diesel.

If he really wants to cut down on the demand for fuel, shouldn't he tax Fuel? Those who need to drive the distance would still drive the distance, but would find more fuel efficient vehicles. Those who don't will simply cut back on their driving.

No, a raw Mileage tax would decrease the incentive to use and/or purchase the more fuel efficient, "greener" vehicles he claims to support, because it would hit his precious plug-in hybrids, even pure electric vehicles, just as hard as the gas guzzling SUVs and Trucks he claims to dislike.

So i guess this is still more proof that Mr Obama either doesn't support what he claims, or doesn't really understand economics.

5/06/2011 11:57 AM  

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