Gas Over $3 Per Gallon is the Fault of Politics and Nothing Else

Many people forget that during the summer of 2008 fuel costs were up over $4 per gallon. What happened was all the money that Americans normally spent on McDonalds, Walmart, and other consumer outlets, suddenly went to the excessive fuel costs and a long way to creating the recession we are currently in. Americans were using their expendable income on fuel costs, not on other items in the economy.

And here we go again. Doc Thompson has on a guest that discusses this very issue.

It is unacceptable to have fuel costs higher than what they are now. If fuel costs go up, it is entirely due to the ineptness of our political structures. Americans should not be “nudged” into other forms of energy while our economic competitors fuel their economic engines with unregulated drilling. In America we have regulated ourselves into a poor strategic position.

It is not my fault that our politicians screwed up and stood with weak backs to environmentalists that are in actuality communists at heart and crave an end to American Imperialism by crushing their great independent “car culture.” I will not spend the extra money on fuel. Instead, I will spend less. I will ride my motorcycle when I’d normally take a car. I’ll ride a bicycle or even walk before I use my extra money on a tank of fuel.

America would be wise to only use the fuel it needs, and respond to these price increases by hurting the revenue of all the government hands that have their hands in the cookie jar that is fuel industry. If you want to punch back the government that screwed all this up to begin with, hurt the money they take in with each gallon of gas that you buy. Below is some information on how much we pay in taxes by state for each gallon of gas. 

State Gasoline Diesel Additional Sales Tax Comment
(¢/g) (¢/g) (%)
Alabama 18 19 4 The gasoline gasohol and diesel rates include a 2 cents per gallon inspection fee. Alabama-registered LPG vehicles pay an annual fee based on vehicle type in lieu of the volume tax.
Alaska 8 8 0  
Arizona 18 19 5 The fuel tax on diesel remains at 18 cents per gallon for light and exempt vehicles but is set at 27 cents per gallon if used to propel a truck with more than two axles or with a declared gross weight over 26 000 pounds.
Arkansas 21.5 22.5 4.5 The gasoline gasohol and diesel rates include 0.4 cents per gallon Environmental Assurance Fee. Applicants for LPG user permits must pay a fee in lieu of the volume tax.
California 18 18 6 LPG users may pay an annual fee in lieu of the volume tax.
Colorado 22 20.5 3 Owners of LPG vehicles registered in the State must pay an annual fee in lieu of the volume tax.
Connecticut 25 45.1 5 The tax is computed at 5% of the gross earnings from the first sale of a petroleum product in the State.
Delaware 23 22 0 The tax rate varies annually based on the average wholesale price of gasoline for the previous year.
Dist. of Columbia 23.5 20 5.8  
Florida 16 16 0 Tax rates are variable, adjusted annually. For gasoline and gasohol, in addition to the rates shown, there is a State-imposed State Comprehensive Enhanced Transportation System (SCETS) tax that varies by the county from 0-5.0 cents per gallon. All counties levy the SCETS tax on gasoline, but a few levy less than the maximum rate. LPG vehicles registered in the State pay an annual fee in lieu of the tax on alternative fuels and the SCETS tax.
Georgia 7.5 7.5 4  
Hawaii 17 17 4 Effective 01/01/02, alternative fuels pay an amount proportional to the diesel tax as follows: .29 for ethanol, .5 for bio-diesel, and .33 for LPG. An additional 1 cent is added to these amounts, and then rounded to the nearest 1 cent.
Idaho 25 25 5 LPG users may pay an annual fee based on vehicle weight in lieu of volume tax.
Illinois 19 21.5   Motor carriers pay an additional 6.3 cents per gallon on gasoline, 6.5 cents on diesel, and 5.9 cents on LPG.
Indiana 18 16 5 Motor carriers pay an additional 11 cents per gallon. LPG vehicles pay an annual fee.
Iowa 21 22.5 5 Effective 07/01/02, motor fuel tax rates will be adjusted annually based on the amounts of ethanol blended gasoline being sold and distributed annually.
Kansas 24 26 4.9 LPG users may pay an annual fee based on mileage and gross vehicle weight in lieu of the volume tax.
Kentucky 24.1 21.1 6 Tax rates are variable, adjusted quarterly. A 2 percent surtax is imposed on gasoline and 4.7 percent on special fuels for any vehicle with 3 or more axles. The gasoline, gasohol, and diesel rates include 1.4 cents per gallon Petroleum Environmental Assurance Fee.
Louisiana 20 20 0  
Maine 29.5 30.7 0 Rates are variable, adjusted every February based on past years Consumer Price Index. Rates are effective on the following July 1.
Maryland 23.5 24.25 5  
Massachusetts 21 21 5  
Michigan 19 15 6 For vehicles defined under the Motor Carrier Fuel Tax Act, diesel fuel is discounted 6 cents per gallon at the pump; and assessed a 12 cents per gallon surcharge on a quarterly return, with a provision for a 6 cent per gallon refund on fuel purchased in Michigan.
Minnesota 27.1 27.1 6 There is a credit to the wholesaler of 15 cents per gallon of alcohol used to make gasohol.
Mississippi 18.4 18.4   The gasoline, gasohol, and diesel rates include 0.4 cents per gallon dedicated to the Groundwater Protection Trust Fund.
Missouri 17 17 0 LPG vehicles 18,000 pounds or less gross vehicle weight registered in the State pay an annual fee in lieu of the volume tax.
Montana 27.75 27.75 0 LPG vehicles registed in the State pay an annual fee based on gross weight in lieu of the volume tax. Out-of-State vehicles purchase trip permits. There is an alcohol distiller credit of 30 cents per gallon of alcohol produced in the State with State agricultural products and used to make gasohol.
Nebraska 26.8 26.8 5 Rates are variable, adjusted quarterly. The gasoline and gasohol include 0.6 cents per gallon and diesel rate includes 0.2 cents per gallon Petroleum Release Remedial Action Fee. Effective 01/01/02, new Nebraska ethanol production facilities may receive an ethanol production credit equal to 18 cents per gallon of ethanol used to fuel motor vehicles.
Nevada 24 27 0  
New Hampshire 18 18 0 The gasoline, gasohol, and diesel rates include 1.5 cents per gallon Oil Discharge and Disposal Cleanup Fee. Alternative fuel vehicles pay twice the usual registration fee in lieu of the volume tax.
New Jersey 10.5 13.5 0 In addition to the rates shown, there is a Petroleum Products Gross Receipts Tax. The tax is computed on a cents-per-gallon basis and is applicable to a wide variety of petroleum products.
New Mexico 18.875 22.875 5 The gasoline, gasohol, and diesel rates include the Petroleum Products Loading Fee of $150 per 8,000 gallons (1.875 cents per gallon). Owners of LPG-powered vehicles up to 54,000 pounds gross vehicle weight may pay an annual fee in lieu of the volume tax.
New York 24.35 22.55 4 Rates are variable, adjusted annually. Rates include the Petroleum Business Tax of 14.6 cents per gallon. The gasoline rate includes a 0.5 mill (0.05 cents) per gallon Petroleum Testing Fee.
North Carolina 30.55 30.55 0 Rates are variable, adjusted semiannually.
North Dakota 22 22 5 Rates are variable, adjusted semiannually.
Ohio 28 28 5 Commercial vehicles formerly subject to the highway use tax pay an additional 3 cents per gallon. Dealers are refunded 10 cents per gallon of each qualified fuel (ethanol or methanol) blended with unleaded gasoline.
Oklahoma 17 14 4.5 Rates shown include 1 cent per gallon tax dedicated to the Petroleum Underground Tank Release Environmental Cleanup Indemnity Fund. When the Fund reaches specified balance, future tax revenues will be deposited in a highway fund. The gasoline, gasohol, and LPG rates include 0.08 cents for fuel inspection. LPG users may pay an annual fee in lieu of the volume tax.
Oregon 24 24 0 The diesel and LPG rates shown are paid by users for vehicles not under the jurisdiction of Public Utility Commissioner. Vehicles under the jurisdiction of the Public Utilities Commissioner and paying motor-carrier fees are exempt from payment of the motor-fuel tax.
Pennsylvania 31.2 38.1 6 The rates include the Oil Franchise Tax for Maintenance and Construction, a variable rate tax adjusted annually. LPG rate is based on the gasolie gallon equivalent.
Rhode Island 33 33   Rates includes 1 cent per gallon tax for the Underground Storage Tank Financial Responsibility Fund.
South Carolina 16 16 5  
South Dakota 22 22 4 As of 7/1/2009, South Dakota taxes gasoline at 22 cents and ethyl alcohol at 8 cents.
Tennessee 20 17 6 LPG users without permits must pay in advance at the beginning of the fiscal year, others pay quarterly. Fee is based on vehice weight and fuel efficiency.
Texas 20 20 6.3 Owners of LPG vehicles registered in the State must pay an annual fee in lieu of the volume tax.
Utah 24.5 24.5 4.9 LPG is tax exempt if user purchases annual exemption certificate.
Vermont 20 29 0 Diesel vehicles 10,000 pounds and over pay 26 cents per gallon. LPG vehicles are subject to a registration fee 1.75 times the usual fee. The gasoline, gasohol, and diesel rates include 1 cents per gallon for the Petroleum Cleanup Fund.
Virginia 17.5 17.5 0 Vehicles weighing 26,000 pounds or more having 3 or more axles pay an additional 3.5 cents per gallon.
Washington 37.5 37.5 6.5 Owners of LPG vehicles pay an annual fee.
West Virginia 32.2 32.2 0 Rates are variable, adjusted annually.
Wisconsin 30.9 30.9 5 Rates are variable, adjusted annually.
Wyoming 14 14 4 LPG is subject to sales tax. The gasoline, gasohol, and diesel rates include 1 cent for the Underground Storage Tank Corrective Action Account.
         

There is no reason for gas to go over $3 a gallon. If you put up with it, it’s your own fault.   Our economy has not yet recovered from the last recession.  The arrogance of politicians who believe Americans have enough expendable income to ride the fuel price hikes are at best out of touch.  And the best way to hurt a politician is to take away the money they rely on.  So lower your consumption and therefore the revenue politicians collect at the gas pumps. 

Rich Hoffman
http://twitter.com/#!/overmanwarrior
www.overmanwarrior.com

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