For the most part, gas taxes are used specifically to fund transportation projects. Electricity taxes would likely be directed into a general fund and could be used to spend on roads but usually isn't. This has come up as cars are more fuel efficient and so gas taxes may not accurately reflect usage. A car getting 40mpg causes similar wear to a car getting 20mpg but pays half the tax is the basic argument. There have been some proposals to tax usage so some sort of mileage tax but I don't think anything has actually been implemented.
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Originally Posted by fbsm
Is electricity not taxed in California?
And what exactly does that have to do with the OP? |