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Politics : Rat's Nest - Chronicles of Collapse

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To: Wharf Rat who wrote (4113)5/9/2006 1:47:33 PM
From: Triffin  Read Replies (1) of 24210
 

He also thinks a higher gas tax could be palatable, if presented correctly.
The money could go into the highway trust fund, which he says is now suffering, providing a justification for the tax beyond just penalizing drivers. Since such a tax would be highly regressive, disproportionately affecting the poor, who might get stuck driving used SUVs, for example, Heywood also proposes a selective reduction in their income taxes to compensate.


Here's my idea for a 'fair' fuel consumption tax
with the collected taxes earmarked for specific
investment in efficiency/conservation technologies ..

I think there are 6 wholesale gasoline pricing
districts in the country, so we use those prices
adjusted weekly as the 'base' cost for transport
fuels .. We level state and federal taxes nationwide
on this fuel at say 20% ( 10% feds .. 10% states )of the
then current wholesale price per district .. So if your
local wholesale prices is $2.50 then your at the pump
price would be $3.00 ..

Every licensed driver would get a 'national fuel debit
card' good for 500 gallons ( pick a number ) at whatever
the current retail price happens to be .. This gives all
drives the ability to purchase fuel at the going rate
sufficient for most motoring needs assuming an average
of 20 mpg you get 10,000 miles at the going rate ..
Above 500 gallons of annual usage an additional consumption
tax is levied for each additional 100 gallons ( pick
a number ) consumed of $1.00 per gallon .. such that ..


0 - 500 gals @ 3.00
500 - 600 gals @ 4.00
600 - 700 gals @ 5.00
etc etc


This scheme gives everyone ( licensed drivers ) a level
playing field for the first 500 gallons of annual consumption,
encourages consumers to switch to more fuel efficient vehicles
over time and places the burden of the tax on inefficient
energy use and on those most able/ willing to pay for
excess consumption ..

It's not perfect, but has the desired incentives and shouldn't be prohibitive to administer ..

Triff ..
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