Staff Reports
California, known for its focus on electric vehicles, is contemplating a new way to collect revenue from drivers. Instead of relying on gas taxes, the state is exploring a potential mileage tax where drivers would be charged based on the number of miles they travel. This initiative comes as California anticipates a decrease in gas tax revenue in the future.
The pilot program for this “road charge” system allows participants to provide feedback on their experience. While the state claims there could be savings for some drivers, skepticism is warranted. Optional participation today could easily become mandatory in the future, as California has a history of increasing taxes on its residents.
California Considering Taxing Travel by Tracking Private Vehicle Mileage https://t.co/XK4TrSoCzB pic.twitter.com/tuFwRCZ4vF
— JPNWMN (@JPNWMN) May 24, 2024
Governor Newsom has led California into a significant deficit, despite starting with a surplus. The state’s roads are in poor condition, yet imposing more taxes, especially on travel, is not the solution. Taxing a fundamental right like travel goes against the principles of freedom protected by the Constitution.
Taxing travel will disproportionately affect those who can least afford it, like individuals commuting long distances for work. California should focus on fostering a business-friendly environment by reducing taxes and regulations to attract and retain productive residents. Only then can the state begin to address its financial challenges and return to prosperity.
