Digital Journal: States to Raise Gas Taxes

According to Reuters, Carl Davis, a research director at the non-partisan Washington D.C.-based Institute on Taxation and Economic Policy says three factors, including low gas prices, a crumbling transportation infrastructure, and a “post-election period” that allows politicians a little breathing space to take on controversial issues, have given a breath of life to the effort to raise the taxes. Davis added that in all, 21 state legislatures will be considering legislation centered on raising gasoline taxes this year. And some states have been dragging their feet for years. New Jersey last increased gas taxes 26 years ago, and Alaska last raised its gas tax 46 years ago. “There has been a lot of procrastination,” Davis said. “It’s an issue that the states cannot put off any longer. There are 21 states which have gone a decade or more since the last time they increased their gas tax rate. These states have some catching up to do.”