Friday, January 20, 2006

Not THE Gas Tax, But A Gas Tax Increase

The Senate unveiled its "Driving Virginia's Future" transportation funding plan that aims at raising $1 billion a year in new revenue by raising the sales tax on wholesale gas purchases and when you buy a new car.

Says the Post:
'Under the Senate plan, entitled "Driving Virginia's Future," the purchase of a car would become more expensive. Instead of the 3 percent "titling tax" that buyers currently pay, the Senate plan would impose the state's 5 percent sales tax. When fully phased in after four years, taxes on a $20,000 car would increase from $600 to $1,000.

The plan would also increase taxes on gasoline by gradually imposing the state's 5 percent sales tax on the purchase of gas by stations at the wholesale level. Stations would likely pass along those taxes in the form of higher prices at the pump, senators said. By 2010, they said, the average driver could pay $65 more each year for gas.'
State Sen. Charles R. Hawkins, R-Pittsylvania, spoke with his usual understated humility.
'"This is nothing short of a remake of our transportation system," Hawkins told reporters at a news conference attended by a dozen Democratic and Republican senators.'
We await the reax from anti-tax legislators in the House...


At 4:16 PM, Anonymous Anonymous said...

This is an outrage. With gas prices the way they are already (and going up today!), its a wicked shame that our own legislators are looking to make things even more miserable. Tell me, what about the VA GOP makes them significantly different from their counterparts across the aisle?? I'm disgusted.

At 7:42 AM, Anonymous Anonymous said...

Historically, adjusted for inflation, gas prices about where they have been in real dollars for a long time, and the continued willingness of the motoring public to pump it like water is proof they feel little pain.

At 8:47 AM, Anonymous Anonymous said...

Get used to it. Increasing the pain of motoring is the new plan for making everthing wonderful.

At 3:39 PM, Blogger Ray Hyde said...

Some car dealers are already including gas with the purchase of a car. does this mean the gas will car tax and gas tax?


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