Carper bill would raise gasoline, diesel taxes for Highway Trust Fund

US Sen. Thomas R. Carper (D-Del.) has introduced legislation that would hike federal gasoline and diesel fuel taxes to raise revenue for the federal Highway Trust Fund. He said his bill would increase the taxes, which have not changed since 1993, by 4¢/year for 4 years, and subsequently index them to inflation.
Aug. 6, 2015
2 min read

US Sen. Thomas R. Carper (D-Del.) has introduced legislation that would hike federal gasoline and diesel fuel taxes to raise revenue for the federal Highway Trust Fund. He said his bill would increase the taxes, which have not changed since 1993, by 4¢/year for 4 years, and subsequently index them to inflation.

“America has funded transportation systems, including the entire Interstate Highway System, with the [gasoline] tax for 83 years,” Carper said. “Inflation, fuel-efficient cars, and other factors mean we don't take in as much money as we used to, yet the need to maintain and improve our transportation systems hasn’t dropped. In fact, most experts argue we need to be doing more.”

He said the measure provides an alternative to repeated budget crises, increasing the national debt, and borrowing money from foreign governments to improve the domestic transportation system.

“At a time when [gasoline] prices are some of the lowest we’ve seen in recent memory, we should be willing to make the hard choice to raise the federal tax,” Carper said.

Specifically, the bill would extend and expand the earned income (EITC) and child (CTC) tax credits, he said. It would make both credits permanent, as well as expand the EITC for childless workers, index the CTC to inflation, and make it easier for working Americans who qualify to claim the EITC.

Contact Nick Snow at [email protected].

About the Author

Nick Snow

NICK SNOW covered oil and gas in Washington for more than 30 years. He worked in several capacities for The Oil Daily and was founding editor of Petroleum Finance Week before joining OGJ as its Washington correspondent in September 2005 and becoming its full-time Washington editor in October 2007. He retired from OGJ in January 2020. 

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