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Saturday, 15 June 2024

California introduces tax-by-the-mile plan as state revenue from fuel tax drops due to electric vehicle usage

 Buyers of electric cars in California may not have been aware of the new tax-by-the-mile plan before they decided to purchase their vehicles. Had they known about the potential added cost, they may have made a different decision. But regardless of personal choice, California law mandates that all new car sales be electric by 2035.

“This pay-to-drive scheme essentially turns your car into a rental,” Patrick Wood said. After quoting from a course on technocracy in 1934, he added, “Don’t tell me that Technocracy is not in play here.”

We would add, do you remember the World Economic Forum’s threat “you will own nothing”?

California has the highest income tax rate in the USA (top tier of 14.4 per cent), the highest statewide sales tax rate (7.25 per cent, plus local sales taxes), and the highest fuel tax rate ($0.78 per gallon). The old joke is that California would tax the air we breathe if it could. Well, California’s latest tax proposal comes close. The state is recruiting drivers for a pilot program to track and tax the miles they drive.

The plan is borne from the fact that Californians have switched to electric and hybrid vehicles at a faster rate than other US states because of the state’s green initiative which has convinced Californians to switch to hybrid or electric vehicles from combustion engine vehicles.

While electric vehicles are more expensive, Californians were enticed to buy them because of the subsidies and savings they would enjoy by no longer having to buy gas. But like most government programmes, this was not well thought out. California has lost millions in tax revenue because of this scheme and now needs to make up for that. From the many options available to it, it has chosen a plan to begin tracking drivers with GPS monitors...<<<Read More>>>....