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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThis Republican ploy to cover tax cuts for the rich will drive you mad
Republicans on the House Transportation Committee floated an idea to levy a new tax on every car in the United States in order to help pay for Donald Trump's budgetwhich features tax cuts that overwhelmingly favor the rich.
Sam Graves, who chairs the House Transportation and Infrastructure Committee, wanted to put a $20 annual tax on every car, and an even steeper $200 annual fee for electric vehicles and $100 for hybrids. The Missouri Republican and other members of the committee cooked up the desperate scheme to help partially pay for Trump's deficit-exploding tax cut and border security bill.
But before a national car tax could be debated at a Wednesday hearing on Capitol Hill, Politico reported that House leadership had already nixed the idea following an uproar from conservative lawmakers and mocking from Democrats across the aisle.
"Are you out of your fricking mind? GOP Rep. Chip Roy of Texas told Politico of the car tax idea. Like, the party of limited government is gonna go out and, say were gonna have [a car tax]?
https://www.dailykos.com/stories/2025/4/30/2319713/-This-Republican-ploy-to-cover-tax-cuts-for-the-rich-will-drive-you-mad

dweller
(26,503 posts)Of ol Chip Roy with steam coming outa his ears ?
That I want to see
✌🏻
Dan
(4,651 posts)The States to collect the tax (people would lie on their Federal Income Tax forms) based on vehicle registrations in their state.
For the States to collect the taxes - they would have to develop or enhance their existing software (vehicle registration) and also develop or enhance their existing software to collect the funds for later transfer to the Federal government. SO, in all probability the States would then add a fee for Federal collection on their existing vehicle registration software. So, there would be a fee for the collection of the tax for the Fed.