![No More Free Ride for EV & Hybrid Vehicle Owners](http://townsquare.media/site/180/files/2022/06/attachment-GettyImages-82647252.jpg?w=980&q=75)
No More Free Ride for EV & Hybrid Vehicle Owners
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If you drive a vehicle powered by an internal-combustion engine, you buy gas. And with that gas purchase, you're paying state and federal taxes. For Louisiana drivers it amounts to .20 cents per gallon state tax, and approximately .18 cents per gallon federal tax. In 2019 that amounted to revenues of over $44 Billion dollars. Billion... Depending on the jurisdiction, some of those taxes are to be used only for improving infrastructure. But if you drive an electric vehicle, you don't pay for gas. And if you drive a hybrid, you're not buying as much gas. So EV & hybrid drivers aren't paying those taxes, or aren't paying enough, according to the state.
Baton Rouge representative Barbara Freiburg has introduced HB1031, which would require owners of all electric vehicles to pay an annual fee to the state of $110. And hybrid owners would pay an annual fee of $60. The fees would be collected through the Louisiana Income Tax form.
Transportation Secretary Shawn Wilson says Louisiana drivers pay an average of $148 per year in state fuel taxes, which varies depending on what type vehicle and how many miles per year they drive. But drivers of EV's and hybrids don't pay those taxes, or pay much less.
Wilson stated:
This intent is to establish the principle of paying a fair share.
Louisiana is by no means the only state initiating this type of fee. 30 states have already imposed fees or taxes including Arkansas and Mississippi. Texas has recently introduced new legislation to initiate their own fee as well.
HB1031 would dedicate 70% of the revenue generated to state roads and bridges, while 30% would go to local roads and bridges. Governor Edwards is expected to sign the bill into law.
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