Greenie vs. Guzzler Tax Proposed

Leave it to the legislators in California to come up with this innovative and provocative little tax idea. Assemblyman Ira Ruskin is proposing a “Clean Car Discount” bill that would tax drivers of low-mileage vehicles up to $2,500 while giving rebates of equal amounts to drivers of more efficient vehicles.

The Hummer versus Prius fight would rest on a sliding scale where owners of slightly offensive vehicles would pay as little as $100 or as much as $2,500, with equivalent rebates on the other side. Some 25% of vehicles in the middle of the green versus guzzling pool would get no rebate or fee.

Is this the way of the future? Some commenters in the debate have said there are already too many new laws on the California books regarding emissions that haven’t taken effect yet and should be evaluated before more regulations are passed. Why an added gas tax wouldn’t have a greater effect is another question.   

[Paying the Price for an SUV, San Jose Mercury News]