About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline

1 Joseph Henchman, Transportation Plan Proposes Business Tax but Secretary Floats Possibility of Tolls 1 (2014)

handle is hein.taxfoundation/taxfaaj0001 and id is 1 raw text is: TxS                     Transportation Plan Proposes
FouNDATIoN Business Tax but Secretary Floats
Possibility of Tolls
May. 2014               By Joseph Henchman
No. 430
Key Findings
* Rising transportation expenses consistently outpace dedicated
transportation revenues, with the 18.6 cent per gallon tax on gasoline
stagnating as American driving plateaus and fuel economy improves.
* Currently, federal gas and diesel taxes raise about $30 billion per
year, and the federal government spend about $70 billion on surface
transportation. The Highway Trust Fund will run out of money in
August of this year.
* The GROW AMERICA Act would boost highway and road spending
by about 22 percent to $199 billion, boosts transit spending to $72
billion, and spends $19 billion on rail programs, for a total of $302
billion over four years. This will be enough to satisfy all the relevant
transportation interests but still leaves funding unaddressed
* The key proposed funding mechanism is an unspecified $150 billion
one-time business tax. Because it is only one-time revenue, it does
not address the fact that transportation spending is annual, large,
and growing.
* Additionally, the bill would remove the federal ban which prevents
state from tolling interstate highways.
* Relying more on tolls and less on general revenues means those who
benefit from good transportation pay directly for it, like any other
service.
* The option to fund transportation with tolls would also reduce
pressure to boost sales taxes, income taxes, and business taxes
(including the Administration's problematic proposed changes to
international business taxation).

What Is HeinOnline?

HeinOnline is a subscription-based resource containing nearly 3,000 academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Already a HeinOnline Subscriber?

profiles profiles most