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We need to pay for roads. Taxing cars is one way to do that. Taxing other things is another way to do it. If you don't tax cars, you have to tax other things. Those other things are likely less related to roads than cars, which is relevant. But also relevant is that property tax is regressive, while income tax, for example, is progressive. The existing car tax is a little less regressive than it could be -- for example, you could have a system where every car carries the same tax amount, say $500 per car, regardless of car value, or one that taxes miles driven versus just owning a car -- those ideas would more closely align road use to care tax, but they'd also likely shift more tax to lower-income taxpayers. No one should be under the illusion that elimination or reduction of the car tax is the same as elimination or reduction of the tax amount -- it will just be shifted from one set of government claws to another, and the new claws might dig in deeper or less deep to certain people than the old claws.

From: Car tax pipe dream?

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