Will declining revenue from gas taxes across the country lead to a call for more taxes on electric vehicles? Probably, writes one EV analyst.
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Despite the growing popularity of hybrid vehicle taxes and electric vehicle taxes among state legislatures, Virginia has decided to repeal their hybrid vehicle tax.
North Carolina has joined the growing list of states taxing electric vehicles to make up lost tax revenue. While electric vehicles have a lot to recommend them – lower emissions, tax rebates, fun to drive – the biggest problem with electric vehicles seems to be that they don’t use gasoline, which means they don’t pay gas taxes.
So far Virginia is considering electric car tax and Washington State already has a $100 fee put into place. Now Texas has added itself to the mix. The state of Texas, like Virginia, has not changed its gas tax in about twenty years – the Texas gas tax sits at 38.4 cents per gallon.
In some parts of the country, there is a very real and rational discussion about the role electric vehicles will play in transportation, especially when it comes to paying taxes. Without the need to buy gasoline, EVs avoid paying for taxes on the same roads they use. But a proposal by Virginia Governor Bob McDonnell would eliminate the gas tax, while levying a $115 a year free on electric and plug-in hybrid drivers. Seriously?
In what could be a preview of the future, Washington has become the first U.S. state to impose an annual tax on EV drivers to make up for lost tax revenue. This is because electric vehicles don’t need gas, which is taxed to to provide for road repairs and infrastructure improvements. This move has some […]