When will we switch from tax at the pump to tax per mile???
 

Just wondering… at what point do you think we will need to switch from a gas tax at the pump to tax per mile of driving? Currently there are approximately 1% of all cars on the road are EVs and in 2022 according to Car and Driver, in 2022, 4.6% of all new cars sold are EVs. By 2025 that number is looking to be 10% and by 2035, 35%. From a back of envelope calculation using some average numbers, 12000 miles of driving a year would be about $250 +/- in an annual tax for a standard passenger sedan.

Here’s my calculations… Let’s say for example all cars with 4 wheels and weigh between 2500 and 4000 pounds get 25 MPG. The average gas tax across the country is $.55 per gallon with CA being $.85 and MO being $.35 per gallon. Motorcycles and very light cars could pay less, larger cars/hummers/large pickups and cargo vans pay more as they do today because their MPG is much lower.

My suggestion would be to claim you mileage driven evert Yeager when you register your car and pay the tax at that time… no need for some sophisticated tracking system on each car. Of course, I’m sure the current Tesla and some of the others are already tracking miles driven.

Honor system?????

Would be better to drop all gas taxes and distribute that expected revenue in registration fees across every vehicle.

Do you ever watch COPs? Most of the people they stop don't have a license, registration, or insurance.

My concern is that it won't be a transition, it will be inaddition to.... Always difficult to impossible to get the government to stop a revenue stream....

Agree. They will say that gas taxes will decline as less gas is used. Therefore no need to transition, just an addition.

May be like Florida all new highways are toll roads.

Most of the states already charge an annual fee for electric cars to make up for the lack of gasoline tax revenue. I suspect the minority of the states that don't already charge this fee will add one in the future. Specific details can be found in the link below.

33 States Charge Electric Vehicle Drivers for Not Pumping Gas. Is Yours One of Them? - CNET

It’s at least equally difficult to impossible to get them to stop the spending addiction.

Never. Can’t be audited and no mechanism for immediate revenue collection

I'm sure they will set a minium mileage rate that is more than most of us will ever use...we never make out on these deals.

A minority, in the twenties, of the states charge more for EVs at registration. The median fee is 200.00. Source: priuschat.com

A small minority, less than ten, charge a surcharge to PHEVs - plug in hybrids.

A few, less than five, charge a fee for hybrids.

I don’t know for sure but it is coming! Remember EV’s do not pay any tax on fuel which is used to fund the roads. At some point they will be taxing you by the miles you drive. For commercial companies that cost will be passed on to the consumers (YOU). Can you see even higher inflation!

On a side note I was wondering why people purchase EV’s? What is their reason? Cost of fuel? Save the Planet? (That’s a joke in itself) What are your thoughts?

Lower cost of operation: fuel and maintenance

For some : better performance

To figure the mpg: the MPGe is how many miles per electric equivalent of a gallon of gas. A gallon equivalent is 33.7kwh or at SECO pricing $4.38 Using my MPGe of 121 my fuel cost is .036 per mile. Using the 2023 average MPG of 24.2 that is the equivalent of gasoline at .867.

Now would you like gas at 86 cents a gallon?

Cost: in my case I have a plug in hybrid which costs more. But the pay back is 63k e-miles. It is an easy decision to make. In the case of other models the payback can be even shorter.

TAX. First reality everyone wants, needs, services but want others to pay for them. That is true for ALL and has been true through history. Paying for roads and maintenance. Tolls have been and are still used. First of all they tie up traffic and people find ways to avoid them perhaps driving farther. Certainly increasing traffic through perhaps residential areas.

Far as EV autos it is not just fuel tax that they receive but also other subsidies.

When, I was WORKING, I burned far more fuel. Both my car and my golf cart run on gasoline. As I use so little. Price of gasoline doesn't matter very much.

We have choices. Wise is to choose the best choice for what you need..

A shocking reality for ALL. Life is NOT fair. There are NO PERFECT ANSWERS to anything.

There are choices for every issue. Fortunately we should investigate the current choices and then chose what to do. New items. EV autos are not at all new. They existed in the 1900's. Major advantage, no need to hand crank to start and not manual transmission. In those days a stick shift was not synchronized-far harder to shift. All is not what was. My car is OLD but garage kept. It is reliable, with low mileage. I have no need to change. My choice is made..