AFP-Mississippi: Hit the Brakes On The New Gas Tax

Feb 21, 2018 by AFP

JACKSON, MS – Americans for Prosperity-Mississippi (AFP-MS) reacted to a new report released by Freedom Partners Chamber of Commerce (FPCC), which highlights the damage a 25 cent gas tax increase would cause on a state-by-state basis, ranking Mississippi as the fourth hardest hit in the nation.

Earlier this month, the White House proposed a massive infrastructure plan that might be funded, in part, by a 25 cent gas tax increase. Such an increase would raise the federal gas tax from 18.4 cents per gallon to 43.4 cents per gallon. Combined with the existing 18.4 cent state gas tax, Mississippi drivers would pay 61.8 cents per gallon in taxes. The burden of an increased gas tax is would not only be felt at the pump. It would ripple through the economy, driving up the cost of transporting goods and services on our nation’s roadways. If enacted, the tax would be the largest rate hike at the pump in history.

The report shows the proposed tax would increase Mississippi’s gas tax burden by 67 percent, the third highest increase by percentage in the country and force households to pay an extra $391 per year when filling up. For the last three years, AFP Mississippi has fought similar state gas tax proposals.

“Because Mississippi is rural, we drive a lot to get to work, to school, to the ball fields, and church. A gas tax hike would hurt Mississippi families more than those in most other states and directly undermine the benefits Mississippians are already receiving from the last year’s federal tax cuts,” said AFP-MS State Director Russ Latino. “What’s worse, charging Americans more for a tank of gas will not solve the endless bureaucratic hurdles and red tape that raise costs during our infrastructure projects. Lawmakers should instead focus on common-sense reforms that eliminate the billions of dollars of waste, fraud and abuse that is rampant throughout our infrastructure projects.”

Background:

Americans for Prosperity and Freedom Partners recently sent a letter to President Trump outlining its opposition to raising the federal gas tax to pay for infrastructure spending.

Smarter Infrastructure Spending, Protecting Taxpayers & Reducing Regulatory Gridlock Critical for Maintaining & Modernizing Infrastructure (2/9/2018)

AFP & Freedom Partners Urge Trump Administration to Resist Calls for Federal Gas Tax Increase (1/24/2018)