The EV Tax Trap: How States Are Already Charging Electric Drivers Extra

Download MP3
Key Points Discussed: 
  • Current EV Market Share: Electric vehicles represent only about 1% of all vehicles on the road, yet states are already implementing additional taxes and fees
  • EV Cost Recovery Challenge: Electric vehicles may cost $10,000-$15,000 more than gas versions, and even with monthly fuel savings of $40-50, break-even can take 8-10 years
  • Widespread Tax Implementation: 30 states currently have additional taxes on hybrid and electric vehicles, with 12 more states having proposals in legislature (potentially 42 states total)
  • Tax Justification: States claim EV drivers don't pay enough taxes since they don't purchase gas, which includes fuel taxes that fund road maintenance
  • Current Fee Structure: Annual surcharges range from $70 for standard EVs to $150 for Tesla owners, with potential for increases over time
  • Hybrid Vehicle Impact: Even hybrid vehicles face taxes - Toyota Camry hybrid owners pay a $75 surcharge despite getting 35 MPG and still purchasing some gas
  • Charging Station Taxes: Some states are adding excise taxes on electricity used at charging stations to capture road use fees
  • Infrastructure Problems: In California, 25% of public charging stations are inoperable, compared to the rare occurrence of broken gas pumps
  • Grid Capacity Concerns: Questions about whether the electrical grid can handle increased EV adoption, with rolling blackouts already being discussed
  • Dealer Network Changes: Ford is forcing dealers to choose between selling only electric vehicles or only gas vehicles - they cannot sell both
Discussion Questions:
  • Do you want an electric vehicle?
  • Will EVs become mainstream or remain a fad?
  • Is more infrastructure investment needed?
  • Are EVs too expensive for average consumers?
  • Have you experienced charging station problems?
  • Has your state issued EV taxes on registration or electric bills?
  • What's your preference for Ford dealership sales models?
Share your thoughts and experiences with electric vehicles in the comments below!
The EV Tax Trap: How States Are Already Charging Electric Drivers Extra
Broadcast by