April 1 (Reuters) – The head of a group representing nearly all major automakers on Wednesday called for scrapping the U.S. government’s 18.4-cent per gallon tax on gasoline and replacing it with a vehicle fee to pay for road repairs.
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Congress has not raised the federal gas tax since 1993 and as more Americans drive EVs and more fuel-efficient vehicles, gas tax revenue has not kept up with highway repair needs. Because it was not indexed to inflation, the tax has lost more than 60% of its value in real terms.
Bozzella said the fee would be collected like a registration fee.
Auto industry group calls for scrapping US gas tax, adopting vehicle fee
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