Feds Suggest Raising Gas, Diesel Taxes To Fund Infrastructure Spending
By: Consensus Report
Members of Congress are considering putting forth a proposal to raise taxes on gasoline and diesel in order to fund spending on infrastructure improvements.
Now, it is clear why the American mainstream media has shown little to no coverage at all on the Yellow Vest protests in France that started over proposed gas tax hikes.
It appears that the idea of taxing Americans more to fill their gas tanks is resonating across the bi-partisan aisles as Trump Administration Energy head Elaine Chao has told reporters that such a tax hike was on the table when asked whether the White House would support such a move, according to McClatchy DC.
While there is valid reasoning for wanting to see some of America's crippled infrastructure repaired, a hike on gas is likely to be a politically poisoning move.Freshmen House Democrats met privately Wednesday with House Speaker Nancy Pelosi of California to discuss plans. Rep. Earl Blumenauer, an Oregon Democrat who has been pushing for new infrastructure revenue sources for years, urged colleagues to spend the next few months building support back home for ways to fund spending.“People ought to have their own community forums,” Blumenauer said.
Republicans and Democrats are motivated by the same forces: Constituent demands that infrastructure, notably roads and bridges, be improved now.
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In the Republican-controlled Senate, GOP lawmakers are warming to the idea, but Senate Majority Leader Mitch McConnell of Kentucky has long been opposed to higher gasoline taxes and has not budged.
“We could consider it in the committee,” said Senate Finance Committee Chairman Chuck Grassley, an Iowa Republican, but he cited McConnell’s stance as a big roadblock. - McClatchy
“It is political stupidity at the highest and most suicidal level,” president of Americans for Tax Reform Grover Norquist, recently told Fox News.
The proposed hikes will not likely be placed on the table without an infrastructure spending bill that can justify the higher prices at the gas pump.
House Speaker Nancy Pelosi said this week that “we’re ready to talk" infrastructure with the Trump Administration as "transportation leaders within Pelosi’s caucus say an infrastructure bill is likely to be unveiled in May," reports Transport Topics.
Pelosi would hint that the Democrats infrastructure bill would be more expensive than the Trump Admin's $1.5 trillion plan that failed to move forward last year.
Federal taxes are already adding 18.4 cents per gallon and 24.4 cents per gallon for diesel fuel. When adding this on top of state and local taxes the total volume-weighted average fuel tax in the U.S. is 52.18 cents per gallon for gas and 60.63 cents per gallon for diesel.
The fact that congress is so eager to tax, rather than chop up the already extremely bloated federal budget to find any sort of funding for the repair of roads and bridges shows how dangerous the power to tax is.
And here is what the MSM doesn't want you to see ...
Posted from my blog with SteemPress : http://planetfreewill.com/feds-suggest-raising-gas-diesel-taxes-to-fund-infrastructure-spending/