Wednesday, April 27, 2011

Tax on Electric Cars?

Recently in the Chicago Sun-Times there was an article about a possible bill being passed in the state of Washington about actually putting a tax on electric cars. For years of the government and state encouraging people to purchase electric cars and hybrid cars because they help reduce the amount of pollution and greenhouse gases released into the atmosphere. Residents used to recieve tax breaks after purchasing a fuel-efficient vehicle. However, the state of Washington is now moving towards a completely opposite bill. They want to charge residents with electric cars a tax fee of one-hundred dollars per year. This would be the nation's first ever tax fee on electric cars. This is due to the fact that electric cars use the roads but do not have to pay the taxes placed on gas to help maintain the roads and help fund construction. On average, people with electric cars save 1,000 dollars a year on fuel. This includes taking the amount of money it costs to fuel electric cars. The average U.S. electricity rate is 12 cents per kWh (price ranges widely across the U.S. from around 3 cents in Washington to about 27 cents in Hawaii) the consumer would still be paying about a quarter as much for fuel costs with gas. Not to mention it can also save people thirty to forty dollars every few months without the need for a mechanic oil change. The Washington democratic state senate representative said, "Electric vehicles pit just as much wear and tear on our roads as gas vehicles. This [bill] simply ensures that they contribute their fair share to the upkeep of our roads" (Chicago Sun-Times). In the long run, even with the one-hundred dollar fee, residents with electric cars will be saving a significant amount of money. Electric cars can save the environment and , even with a possible tax, save money for the consumer.

Sources:
www.plugincars.com
www.suntimes.com

1 comment:

Patl07 said...

I can see why they would be tempted to tax electric cars. All the deficits are so high, I'm sure they need the money. But I would prefer they increase the taxes of the people using really dirty, harmful fuels. It might not be fair to tax gasoline and not electric, but the gas guzzlers always have the option of switching to electric.