Mileage Tax: Good idea or bad

The problem with this sort of tax is that, if you make it a smooth increase, you don’t end up with a cost curve that looks that different from a gas tax. And if you make it a threshold, then you just add engineering costs and distort production. A $10K tax on any vehicle with a weight over 4K pounds, for example, is only a good idea if you think that the real problem we need to solve is the dearth of 3,999 pound cars.

See all the 799cc Japanese motorcycles from the 80s for an example of this sort of policy failing.

Yeah, I don’t doubt that all methods have their flaws. I guess the best we can do is aim for the least flawed or one with the most up-side.

Bahhh… We’ve looked at this before. It makes no sense.

I drive an SUV because it fits my life. No one needs to know more about that.

I pay more for it in taxes on gas. And that relates directly to its weight and how many miles I drive. Easy peasy.

If the government doesn’t feel that the Hybrids and Electrics are not paying their fair share, they should be taxed accordingly. While this may not seem to be a very forward acting or proactive approach, it would be fair.

All the different states have different registration fees. In Colorado, It’s based on the value of the vehicle. It’s nuts. It should be based on the weight of the vehicle. Much easier to determine. And could be a sliding scale.

What we should be doing is providing employers and employees incentives to not drive. Damn near everybody already has a home office set up. One day a week, do not come to work and work from home.

I don’t think a “flat” mileage tax is a good idea, for all the reasons given.

However, I think most recent proposals for mileage tax involve GPS data loggers. This makes it possible to apply different tax rate to different roads, and even different time and day (e.g. higher tax during weekday rush hours). I do like this idea; this may help ease congestion in cities, and ease the severity of rush hour traffic. It can makes public transport more attractive (in comparison), in areas where they are available.

Mileage tax is already done by fuel duty (at least in the U.K.). Further, I strongly object to the constant war on the motor vehicle. Governments need to realise that the economic benefits of the motor car and stop trying their damnedest to stop people making money.

I could get behind a much higher fuel tax IF they included a fixed rebate to make it progressive. Doing it that way would reward folks who don’t own vehicles, and still not hurt too much the poorer workers who need to drive to work but can’t afford a newish car.