Addressing the highway funding crisis: a review of alternative petroleum-related taxes

Journal Article · Fri Jan 01 04:00:00 EST 1982 · Transp. Q.; (United States)

OSTI ID:5744874

Rao, K; Nagin, D

As states attempt to place their transportation fiscal houses on solid footing, a high priority issue is doing something about the eroding revenue base from the conventional motor fuels tax. Three general categories of petroleum-related taxes that states might consider are taxing: (1) the processing of petroleum; (2) the sale of petroleum products; and (3) the wealth from petroleum. If taxes of the first type, on petroleum processing, are dssired careful analysis should be made of potential impacts on investment. Depending on tax rates and circumstances in the state, disincentives for investment could be created. Taxes of the second type, especially ad valorem taxes on the sale of petroleum, appear to exhibit most of the desirable characteristics. Finally, taxes on petroleum profits, while a useful and necessary revenue source into general treasury, may not be appropriate as a primary means of addressing the transportation funding problem at the state level. 3 tables.

• Research Organization: Pennsylvania Transportation Inst., University Park
• OSTI ID: 5744874
• Journal Information: Transp. Q.; (United States), Journal Name: Transp. Q.; (United States) Vol. 36:1; ISSN TRQUD
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700 -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
294002* -- Energy Planning & Policy-- Petroleum
ECONOMIC IMPACT
ENERGY SOURCES
FINANCING
FOSSIL FUELS
FUELS
PETROLEUM
ROADS
TAXES