Raising taxes is always a tough sell. And this is especially true when discussing a gas/fuel tax that will hit drivers allover the country. For owner-operators specifically, this kind of tax increase basically looks like a reduction in salary.

But the American Trucking Association has come out in favor of a gas/fuel tax. So could the fuel tax be a good thing for truck drivers? What are the reasons for and against the tax?

For Increasing Fuel Tax

Roads need to be safe to drive on. This should be self-evident, but it does cost money to maintain and repair roads.

To address this issue, our government uses the Highway Trust Fund, or HTF. This is paid for via a gas tax. The money is dispersed across the country. It is mainly used for repairing roads, bridges and other transportation projects, such as expanding highways.

Currently, the tax is at 24.4 cents per gallon for diesel. The amount charged has not changed since 1993. Even after fuel prices skyrocketed.

One side effect of the increase in gas prices is lower gas consumption. Simply put, fewer people can afford to buy gas or fuel. And with less people buying fuel, fewer cents per gallon go into the Highway Trust Fund. Which is dangerous for drivers everywhere.

These days, the HTF relies heavily on truckers and other transportation industries for contributions. That said, attempts have been made to generate cash for the HTF elsewhere. Examples include:

• Raising the federal tax above 24.4 cents per gallon
• Charging oil and fuel companies directly for the loss in HTF revenue

These attempts failed though, and nothing has been done at the federal level to-date. Which is why many states are stepping in and increasing gas taxes.

Ultimately, a new source of revenue is needed to fix our highways and infrastructure. It’s cheaper to repair roads now rather than worry about the damages and potential injury/loss of life later.

The alternatives to a gas/fuel tax would be the privatization of highways and infrastructure projects, which would lead to more toll roads, more traffic, and more delays. This is something the ATA and the trucking industry desperately wants to avoid.

Against Raising Gas Taxes

Trucking is already one of the most regulated industries in the country. Adapting to the new government regulations, such as ELDs, has been onerous for truck drivers.

For owner-operators especially, a new gas taxis just one more added cost. And even for company drivers, many are concerned that added fuel costs will result in lower pay.

Increasing the gas tax might also lead to truckers waiting longer to get fuel at a better price. If truckers try to run on fumes to avoid paying more, this would be tempting fate. And at best, it’s just another added stress for drivers.

To combat these feelings and issues, many truckers have taken to protesting. For example, in Ohio earlier this month truckers drove under the speed limit on the highway. Their goal wasn’t to shutdown the highway. They wanted to protest raising gas taxes. Among other issues.

Conclusion

There are arguments for and against a new fuel tax. When push comes to shove, roads need maintenance. And America needs truckers to keep our economy going.

Where do you stand?