On Monday’s broadcast of the Fox Business Network’s “Kudlow,” host Larry Kudlow said that the gas tax is a user fee for roads that goes “toward the highway road system, which is usually on the verge of bankruptcy. You take that money out, you’ve got a problem, and it’s a user fee.”
Kudlow said, “Everyone loves tax cuts. I love tax cuts. I want to cut the capital gains tax. I want to cut personal income taxes. I’d like a 15% corporate rate and an individual rate. … But, on that point, it’s Congress who has the authority over the federal gas tax, which is 18.4% for gasoline barrels and 24.4% for diesel. Okay, Steve Moore, you can take a whack at this. These are user fees that go toward the highway road system, which is usually on the verge of bankruptcy. You take that money out, you’ve got a problem, and it’s a user fee.”
He continued, “Now, the electric vehicles don’t have to pay that user fee, so maybe we want to slap a user fee on them too, but do you really want to — do you think A. Congress in the next few days or weeks is going to get rid of the gasoline tax? It’s not an executive decision, it’s a congressional decision. And, again, I’m for lower taxes, but this one, I don’t know. Does this make sense?”
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