Gas Tax, On the Rise

The US task force charged with reigning in US debt is proposing a 15 cent per gallon increase in the federal gasoline tax. Furthermore, the draft proposal calls for the increase to begin in 2013.

According to a senior Committee staffer, gas taxes would rise by one cent every three months starting January 2013. This will be done until a 15 cent increase has been reached. Currently, the stand of Federal fuel taxes is at 18.4 cents per gallon for gasoline, and 24.4 cents for diesel fuel. Albeit the raise seems dramatic, gasoline price have been fluctuating by that amount for a couple of weeks now.

The proposal for gas tax increase wants the funds to be fully dedicated in capitalizing the transportation trust funds. In recent years, the trust fund has been bailed out of the government’s financial outlays for transportation. Due to the nation’s massive deficit, the shortfalls have had to be covered by the federal government’s general funds.

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