Hildenbrand: slash state sales tax on gas

Full story: WOOD-TV Grand Rapids and Michigan

A plan to cut the states sales tax out of the price at the pump was introduced Monday by a House Republican member who wants to see it enacted by Memorial Day.

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Tom

Grand Haven, MI

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#1
May 12, 2008
 
Absolutely a bad idea. Basic Econ shows that all that will do is lower the price of gas, increasing demand, increasing the cost, and you'll be paying the same amount as before, with the state getting less. I am firmly against new taxes, but why take away a revenue source for the state with no benefit to the consumer?

“Disgruntled ”

Since: Apr 08

Wyoming MI

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#2
May 12, 2008
 
Sales tax to be replaced with the 325 million budget surplus from 2007. They just want to get tourism up but it is too little too late.
wtf

United States

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#3
May 12, 2008
 
Tom wrote:
Absolutely a bad idea. Basic Econ shows that all that will do is lower the price of gas, increasing demand, increasing the cost, and you'll be paying the same amount as before, with the state getting less. I am firmly against new taxes, but why take away a revenue source for the state with no benefit to the consumer?
I agree. What is there to stop the oil companies from raising the price of gas and whoops! there goes your 'savings'
Ken

United States

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#4
May 12, 2008
 
once, again the republican from Lowell wants to cut and save mononies we don't have and off course we have a surplus to cover the lost tax dollars. When the public see that this state of Michigan started this downward fall
when Gov.Engler and the Republican's control everything.
Glassy

Delaware, OH

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#6
May 12, 2008
 
OK, I am kind of confused. First we can't settle the budget by year end in 2007 but we now have 325 million in surplus. Umm, maybe that is why I like Nextels commercial with the firemen voting on the budgets...LOL Isn't it supposed to be 1 + 1 + 1 = 3? Now how is that we are going to save .17 tax per gallon? Does anyone really know the formula to what we pay per gallon? Like how interesting it is that the gas stations don't get filled up every other hour, but yet the gas prices can flucuate how many times in a given day? So in other words, who is really making money? and who is getting taken?
Michsux

Allegan, MI

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#7
May 12, 2008
 
Hildenbrand must be wearing a big "S" on his chest. I oppose this whole idea. The savings is so little not worth the time. Driving these roads now is like riding on the moon.
internet troll

Grand Rapids, MI

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#8
May 12, 2008
 
Perhaps you guys all need to do a little math. According to the sidebar on the article, it isn't 17cents.

Gas tax averages:

* US average is 47 cents per gallon
* Michigan pays 54.4 cents (#6 in the nation)
* California pays 63.9 cents (#1)
* Alaska pays 32.4 cents (#50)

Source: American Petroleum Institute
lzs

Comstock Park, MI

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#9
May 12, 2008
 
Troll, as I read it & understand it, the 54.4 cents listed in the sidebar is the total taxes per gallon. DH's suggestion is just removing the sales tax (6 percent) portion you pay (which is closer to the $.17/18 cents referenced).
Dave Thompson

United States

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#10
May 12, 2008
 
If this is a 100% cut it might work. I heard today on the news It might be 15 cents per gallon. That is nothing, not worth the trouble. MOST fillups are about 10 to 15 gallons. Which is on $2.25 max per fill. Then the gas companies can raise prices again, since there seems no way to stop them.
John

Grand Rapids, MI

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#11
May 12, 2008
 
Maybe you should re-read the article. The plan is to only remove the state sales tax on the gas. The state and federal road taxes would remain. Those numbers are about 37 cents...54-37=17 :)

So, we'd save 17 cents a gallon at the cost of our roads and surplus. Also, the part that really needs a break, wouldnt be touched; diesel prices need to come down.
internet troll wrote:
Perhaps you guys all need to do a little math. According to the sidebar on the article, it isn't 17cents.
Gas tax averages:
* US average is 47 cents per gallon
* Michigan pays 54.4 cents (#6 in the nation)
* California pays 63.9 cents (#1)
* Alaska pays 32.4 cents (#50)
Source: American Petroleum Institute
red

Holland, MI

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#12
May 12, 2008
 
It sounds really great but the price will go up anyway. I don't believe because oil companies will see our tax has been removed but because It's just going up. We could pay $.54 on top of the rising prices or save the $.54 on the rising prices. I'd rather save the money. Our government is supposed to be working for us. We are now working for them. let me have my money back. I can handle it better than they can.

“Disgruntled ”

Since: Apr 08

Wyoming MI

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#13
May 12, 2008
 
Very easy get 10 gals of gas $39.00, sales tax is roughly $2.34 give or take. If you fill up twice a week you save maybe $5.00. This is only going to last between mem day and lab day I read. As someone said this is sales tax not road tax. Next time someone wants to hand you $5.oo just look at him suspiciously and walk away.

But yeah the oil cos may well step in and intercept the money.
C_Ti

Berlin Heights, OH

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#14
May 12, 2008
 
I wouldn't get rid of the state's earnings either. And what's with this surplus? Weren't we running out of salt big time last winter for the roads? And weren't counties having problems paying their plow contractors to clear the snow? Maybe the surplus should be applied to situations such as these... not to mention the terrible road conditions.
TommyO

Grand Rapids, MI

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#15
May 12, 2008
 
Let's do that! 54.4 cents off every gallon saves me $7.62 off every $55 fill up. At two of those a month (times two cars) I would save at the end of the year a whopping $366 (or $1 per day). How totally stupid. If you are so tight that $1 a day is a make-or-break figure, then you are in serious trouble anyways. Plus we do know that the $300 million he's talking about is used for road repairs - we need that cash for that! And what's this BS about a budget surpless??? Do we really think those bozo's got that much better since October when they shut the system down because of their financial ineptitude????
Steve

Big Rapids, MI

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#16
May 12, 2008
 
What a stupid Idea. take the tax off for the out of starters to tour then stick it to us again for the winter... When money is the tightest....
Let the visitors pay the same penalty as we do or do away with it completely.... Subsidized tourism oh yeah! thats a great idea...
they say the sales tax has been steady...Wonder why....I don't... We just stopped spending on taxable items to put the money in the tank.

If it hurts tourism.....Don't they think it hurts the citizens....what idiots we have in Lansing.
TommyO

Grand Rapids, MI

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#17
May 12, 2008
 
Oh that is so slick - it makes my argument about the wasted time on that legislation all the more poignant.
John wrote:
Maybe you should re-read the article. The plan is to only remove the state sales tax on the gas. The state and federal road taxes would remain. Those numbers are about 37 cents...54-37=17 :)
So, we'd save 17 cents a gallon at the cost of our roads and surplus. Also, the part that really needs a break, wouldnt be touched; diesel prices need to come down.
<quoted text>
holy roller

Allegan, MI

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#18
May 12, 2008
 
internet troll wrote:
Perhaps you guys all need to do a little math. According to the sidebar on the article, it isn't 17cents.
Gas tax averages:
* US average is 47 cents per gallon
* Michigan pays 54.4 cents (#6 in the nation)
* California pays 63.9 cents (#1)
* Alaska pays 32.4 cents (#50)
Source: American Petroleum Institute
I don't care about the 54.4 cents. Thats the worst thing they could do. Demand rise an when they end it we'll be paying $5.00/gal. I'm a republican an I approve this message....LOL
holy roller

Allegan, MI

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#19
May 12, 2008
 
TommyO wrote:
Oh that is so slick - it makes my argument about the wasted time on that legislation all the more poignant.
<quoted text>
WooHoo....17 cents/gallon...Where will I go on vacation.
NICK

Battle Creek, MI

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#20
May 12, 2008
 
Here is a concept lower prices all together!!!!!!
hazy3

Grand Rapids, MI

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#21
May 12, 2008
 
It's my understanding that the 6% sales tax goes to the general fund, not for transportation purposes. The idea is horrible. Besides, we're trying to take care of our roads with 1997 tax dollars. Another thing to consider. We live in the northern tier of states. Road maintenance is higher. It's obvious driving around in Michigan, along with the highest gross vehicle weight for vehicles. If we want good roads, it's going to take more money.

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