How About Revenue Equal Tax on Gasoline?

As gasoline retail prices skyrocket, so do the all the taxes.

This is a windfall for the government. In fact, government might actually
want the prices to stay sky high for all the extra tax revenue it will
enjoy. Who knows, if gas hits $10 a gallon, the taxes alone might pay off
the National Debt. But, that is not how a benevolent government is
supposed to operate.

Rather than give lip service sympathy to we who pay at the pump (top
politicians get their gas for free along with their company cars), why
doesn't the President push through a DYNAMICALLY VARIABLE GAS TAX that
will change daily with the average national gas price? As gas goes up in
price, tax rate will go down and viceversa.

Government revenues will not diminish or increase but stay constant to say,
Jan 2005 datum. The effect of the variable tax will be to mitigate the
prices we pay since taxes are a significant portion of the retail price.

I say President Bush Jr. should put his money where his mouth is for the
benefit of us poor folk!

 

"As gasoline retail prices skyrocket, so do the all the taxes. " 

____Reply Separator_____

I can't speak for all 50 states, but the tax on a gallon of gasoline in
Pennsylvania is
$ .443, $ .184 federal and $ .259 state. This tax does not vary.

"This is a windfall for the government.  In fact, government might
actually
want the prices to stay sky high for all the extra tax revenue it will
enjoy.  Who knows, if gas hits $10 a gallon, the taxes alone might pay
off
the National Debt. "
 
____Reply Separator_____

$10 a gallon in Pennsylvania will result in the same tax as it is at
$2.60 a gallon.