Obama nixes plan to tax motorists on mileage

Obama nixes plan to tax motorists on mileage

news.yahoo.com

WASHINGTON – President Barack Obama will not adopt a policy to tax motorists based on how many miles they drive instead of how much gasoline they buy, his chief spokesman said Friday. Press secretary Robert Gibbs commented after Transportation Secretary Ray LaHood told The Associated Press that he wants to consider the idea, which has been proposed in some states but has angered many drivers.

(visit the link for the full news article)

A tentative plan in Massachusetts to use GPS chips in vehicles to charge motorists by the mile has drawn complaints from drivers who say it's an Orwellian intrusion by government into the lives of citizens. Other motorists say it eliminates an incentive to drive more fuel-efficient cars since gas guzzlers will be taxed at the same rate as fuel sippers.

Well this is good news to hear. I do believe this may be one of the few things I agree with him on. This would, as I quoted above, be intrusive and would eliminate the incentive to drive a hybrid or other vehicle that gets better gas mileage. Take away that incentive and people won't switch from vehicles that only get 10 miles to the gallon.

news.yahoo.com
(visit the link for the full news article)

reply to post by Jenna



I guess he doesn't want a revolution afterall.
Smart move.


[edit on 20-2-2009 by spinkyboo]

I have to give it to Obama he knows how to put the brakes on his people when they get to frisky with laws.

I am glad that he intervene to stop such stupid Idea.

reply to post by marg6043


I'm not an Obama supporter, but him doing something that makes sense is a nice change of pace from the typical nonsense that comes out of Washington.

On first glance it seems rediculous to go from taxing gasoline by the gallon to taxing miles driven because, as posters above have said, that is a disincentive to driving more fuel efficient cars.

But the reason stated for moving to a VMT (vehicle miles traveled) tax in the future is stated in the article.

The gap between money raised by the gas tax and the cost of maintaining the nation's highway system and expanding it to accommodate population growth is forecast to continue to widen.

Among the reasons for the gap is a switch to more fuel-efficient cars and a decrease in driving that many transportation experts believe is related to the economic downturn. Electric cars and alternative-fuel vehicles that don't use gasoline are expected to start penetrating the market in greater numbers.

A blue-ribbon national transportation commission is expected to release a report next week recommending a VMT.

I seriously doubt that there enough electric/hybrid cars on the road right now (and probably wont be in the near future) to justify the switch, though.

Not to mention that monitoring my car's mileage is intrusive in the extreme.

A tax on electricity/hydrogen batteries/whatever at point of purchase, like the gasoline tax, seems a lot simpler anyway.



[edit on 20-2-2009 by Tuning Spork]

Good! I'm glad Obama shot this new tax down. One of the few things he has done so far that gets my approval.

In a case like this, many people would cut back their driving and mostly limit it to go to work and back. Those with long commutes would basically be penalized for going to work.

Good call to shoot this one down. I also don't like the GPS idea at all. Although I have GPS, it should be a choice- not a demand by law.

Thanks for making us aware of this.