Quote:
Originally Posted by Hackslack
Not sure if it’s been talked about, but a big portion of cost when filling up a tank of gas is the gas tax, which is used to pay for building, maintenance, and modernizing roads. What would replace the gas tax? Also, what will the price would we expect for charging a full battery come 2035?surely the government will do everything they can to get their hands some sort of revenue when that revenue is lost from ICE vehicles
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For the bazillionth time, this isn't Cinderella and every gas car on the road doesn't turn into a pumpkin at the stroke of midnight on New Year's Eve 2034. Easily 60-70% of cars on the road in 2035 will be pure ICEV. The decline in revenue won't even really be noticeable to most governments for at least another 5-7 years.
As for how to make up the revenue, that will be mostly up to provincial governments. The majority of excise taxes and sales taxes on gas are collected by the provincial governments. They'll each have their own way of dealing with the shortfall.
Looking at this wiki here:
https://en.m.wikipedia.org/wiki/Moto...axes_in_Canada
Combined, the federal and provincial governments collect about $15B in excise and sales taxes across all fuels. This works out to about $570 per motor vehicle in Canada. Of course that doesn't consider the disproportionate consumption of heavier vehicles or aviation or the question of whether the feds need to keep collecting fees from drivers. But that's about the maximum. So maybe tack on $570 to annual registration fees? I'm hoping we'll finally start taxing vehicle owners based on vehicle size and weight.
What works depends on the goal.
Simplicity? Flat plate tax
Privacy? Flat plate tax
Fairness? Scaled tax based on usage or vehicle characteristics
Environment? Flat plate tax (helps discourage car ownership).
I'd say split the difference and make them flat taxes scaled to vehicle weight and maybe size. But again each province is different and I'm sure Ontario will pick the most retarded option possible.