Highway robbery, part 4
A campaign algebra problem:
State Treasurer Judy Baar Topinka, the GOP candidate for governor, suggested the state suspend the sales tax on gasoline when the price exceeds $2.50 per gallon. So if the price of gas hits $3.50 a gallon, the state would waive the sales tax on a dollar each gallon. According to the article, she couldn't estimate how much money motorists would save.
OK, let's estimate. The state tax is 5 percent. Current prices are, what, three dollars a gallon. So, save 5 percent of 50 cents. That's a savings of 2.5 cents per gallon, times 10 gallons in my Toyota, which equals a savings of 25 cents per fill-up.
Thank you, Judy.
posted by teacherman @ 6:01 AM
3 Comments:
In a related news development, the Bush administration is proposing waiving taxes on Big Oil's profits "during these trying times of the Long War."
Sure, it's not like we use that gas tax revenue for anything useful like road maintenance. Actually, why don't we just get rid of all taxes, it's not like we should have to use real cost economics when being the biggest consumer in the world, lets just let the future generations worry about that.
good point ... in fact, more money can be saved if we cut the environmental fee of 1.25 cents per gallon. As if drivers cared about the environment!
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