00201716

Component

http://onlinepubs.trb.org...s/hrr/1969/285/285-005.pdf

A 3 CENTS PER GALLON TAX DIFFERENTIAL WAS CONSISTENTLY PROPOSED BY THE KENNEDY AND JOHNSON ADMINISTRATIONS. BECAUSE THE DIESEL ENGINE CONSUMES LESS FUEL PER MILE THAN THE GASOLINE ENGINE DOES, THE DIFFERENTIAL WAS DESIGNED TO ELIMINATE THE APPARENT TAX ADVANTAGE GRANTED TO THE ECONOMIC DIESEL ENGINE. THE DETERMINATION OF THE 3-CENT DIFFERENTIAL IS BASED ON THE ESTIMATIONS OF HIGHWAY USE TAX RESPONSIBILITY MADE BY THE BUREAU OF PUBLIC ROADS. INCREMENTAL-COST ANALYSIS, ONE TECHNIQUE USED BY THE BUREAU, IS USED AS A MEANS TO ALLOCATE TAX RESPONSIBILITY ON A 'COST-OCCASIONED' BASIS, BUT APPLICATION OF THIS TECHNIQUE HAS CAUSED SERIOUS MISINTERPRETATION OF THE COST-OCCASIONED PRINCIPLE. HIGHWAY USER COSTS ARE ALLOCATED USUALLY ON A USE BASIS - EITHER AXLE-MILE OR VEHICLE-MILE TRAVELED. BUT BEFORE A DIESEL FUEL TAX DIFFERENTIAL IS DEFINITELY ADOPTED, ANY POSSIBLE OPPORTUNITIES FOR DISCRIMINATION AGAINST DIESEL VEHICLES MUST BE ELIMINATED. THE POSSIBLE ENCOURAGEMENT OF TAXPAYERS TO EVADE THE FUEL IMPOST IF ESTABLISHED AND THE NEW DEVELOPMENTS IN ENGINE TECHNOLOGY ARE SOME REASONS FOR THE NECESSITY OF DETAILED ANALYSIS OF THE APPLICATIONS OF A DIESEL FUEL TAX DIFFERENTIAL. /AUTHOR/

Paper sponsored by Committee on Highway Taxation and Finance and presented at the 48th Annual Meeting. Distribution, posting, or copying of this PDF is strictly prohibited without written permission of the Transportation Research Board of the National Academy of Sciences. Unless otherwise indicated, all materials in this PDF are copyrighted by the National Academy of Sciences. Copyright © National Academy of Sciences. All rights reserved.

01410225

Meyer, W E; Buffington, Jesse L; Adkins, William G; Schafer, Dale L; RAKOWSKI, JAMES J

pp 47-68

1969

Highway Research Record

Digital/other

References (12) ; Tables (6)

Diesel fuels; Economics; Fuel consumption; Fuels; Highway user taxation; Taxation; User benefits

Economics; Energy; Highways; Society

TRIS, TRB

Nov 24 1994 12:00AM

• A RESOURCE ALLOCATION MODEL FOR TRANSPORTATION PLANNING
• A TRANSPORTATION AND PRICE-SENSITIVE INTERREGIONAL INPUT-OUTPUT MODEL
• DEVELOPMENT OF A TRANSIT COST ALLOCATION FORMULA
• ECONOMIC ASPECTS OF URBAN PASSENGER TRANSPORTATION
• ENGINEERING-ECONOMIC SYSTEMS ANALYSIS FOR TRANSPORT PLANNING IN DAHOMEY, WEST AFRICA
• Information Needs of Interstate Highway Motorists in Iowa
• PROJECTING AUTOMOBILE AVAILABILITY BY URBANIZED AREA
• THE ECONOMIC BENEFITS ACCRUING FROM THE SCENIC ENHANCEMENT OF HIGHWAYS
• THE INFLUENCE OF THE HIGHWAY NETWORK STRUCTURE ON THE ECONOMIC DEVELOPMENT OF WEST VIRGINIA
• THE USE OF LAND DEVELOPMENT SIMULATION MODELS IN TRANSPORTATION PLANNING