Now that gas is once again (relatively) cheap, there's a renewed sense that adding a higher tax on each drop of petroleum might be a wise plan. It's often suggested that revenues from a higher gas tax are necessary to keep America's vast roadways in good working order, but some believe that there might be other uses for these taxpayer funds. For instance, we are all well aware by now that the Detroit-based automakers are losing money much faster than they are taking it in, which has led the Feds to offer extra funding in the form of guaranteed low-interest loans. Where should that money come from? As it stands, TARP funds that were initially slated for various banks are to be used for Detroit, but would revenue from an increased gas tax be better?
According to Angus MacKenzie at Motor Trend
, the US government collected $29.4 billion in fuel taxes last year based on the current 18.4-cent tax on gasoline and 24.2-cent tax on diesel
. Those figures have remained the same since 1993, though states are also free
to create their own gas taxes. So, dear readers, is it time to raise our national gas tax to help out Detroit?
[Source: Motor Trend