New Mileage Tax: Will Montana Put The Brakes On the Idea?
I was scrolling through social media the other day and came across something that when I first looked at it, I thought "that can't be true". It was a post about how there is a proposal out there that would charge drivers a "fee" per each mile they drive.
There is no way that could be true, right? The Government wants to charge you a tax per mile? Ridiculous right? Well....
I stopped scrolling past and decided to do a little research compliments of Google and came across something interesting. Maybe you've heard of the Infrastructure Bill that President Biden has put forth? It's a 2700 page document that you can find by clicking here, and on page 508 in section 13002. There it was, in black and white.
The National Motor Vehicle Per-Mile User Pilot Fee.
Here's the thing, apparently there's already states that are testing the program. Our neighbors Oregon, Utah, and Washington to name a few. The idea is that instead of paying a gas tax, you would pay a per mile tax. Oh and according to an article by The Washington Post, several Democrats and Republicans are on board.
Do you think that would work in Montana? Montana is a big state, the 4th largest in the Union. It's nothing to drive 10, 20, or even 30 miles to work each way. I mean, that would really add up and cost Montana drivers a ton, right?
According to the article, the difference might not be much between the gas tax and the mileage tax. In fact, citing the example the Post used, you would pay a little over 5 bucks more a year for the mileage tax if you drove 12 thousand miles a year and averaged about 22 miles per gallon.
I have a few questions.
First, how do they collect the tax? Right now, I go and fill up with gas and pay a price, the gas tax is included in what I pay. If the Government is going to charge me a mileage tax, how do they collect that? Is that an end of the year thing? Do I send in a monthly payment? Is there some sort of device they put on my vehicle?
Second, what about electric cars? Are they charged the mileage tax as well? If not, why? Is this all some sort of Government conspiracy to make us all get away from fossil fuels?
I think there are lots of questions and I would be interested in hearing the answers. What about you? Are you sold on the idea? Would this be good or bad for Montana? I'd love to hear what you think.
Credit: The Washington Post