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How will the government tax electric cars?
I want to buy a new Nissan Leaf, but I’m worried about the unforeseen cost of tax. Since electric cars don’t have a gas tax like gas-powered cars, do you think they’re going to be taxed in the future? How will the government tax electric cars?
Elaine Duvet · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
That’s a great, timely question. State and federal gas tax keep highways in good condition and pays for various transportation projects. Specifically, fuel taxes account for 29% of state highway funds and 84% of federal.
- Some states have started to **double **registration fees for EVs to make up for lost revenue.
- Another option is to** increase** tolls on bridges and roads, where no car is exempt.
- Tax can be added to EV public charging stations. However, since most owners charge their EVs at home, this could prove to be less effective.
- Other states like Arizona, Wyoming, Texas, and Minnesota** have much higher fees** for EV drivers than they do for internal combustion vehicles.
Now that you have a better idea of how EVs are currently being taxed, and how they can continue to be taxed in the future, you can make an informed decision about buying a new Nissan Leaf.
Make sure you’re also informed about the best car insurance plans on the market. Did you know most Americans are overpaying for their monthly policy? Don’t let that happen to you.
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