The government has a problem with your new, high-mileage, low-pollution car: you aren’t paying enough in gas taxes to keep up the federal highway system. Recently, at Congress’s behest, the Congressional Budget Office studied another way to raise money; charge drivers per mile driven, rather than (or in addition to) taxing your gas.
The Vehicle Mileage Tax (VMT) is meant to directly reflect some of the costs of maintaining the highways that are not a direct consequence of the gas you burn; road damage (mostly thanks to semis), noise, accidents and road congestion.
Sound absurd? Actually, a form of VMT is in place on the nation’s toll roads already, and several countries are charging trucks by the mileage traveled. The technology to track where you drive and how far is now available, as well, combining things like the E-ZPass with GPS and wireless networking.
Is this not a privacy issue?
One would think so, Zac. Personally, I’d like to see how they intend to tax the mileage on my 1986 Chevy C10. It has no computer, just a simple mechanical speedo/odo.
I can see waivers coming in for that as well, going to all of the supporters of the pols in power at the time.
But a mileage tax will encourage people to drive less and thus lower the gas tax collected.
I must say that, one of the few taxes which makes sense, is the gas tax; so that we are, more or less, taxed for the amount that we drive, and that is, ideally speaking, applied to building roads and bridges.
This seems quite weird that, if money is needed, the gas tax is not increased, but there is this new suggested mileage tax. Not surprising, however, considering the kinds of Dems which are in office.
Reggie May is that a joke?