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Texas Lege trying to pass new taxes on EVs and Hybrids

The Texas Legislature is bent on new annual taxes for full EV and less for hybrids. Up to $250 based on weight. SB 1728 (& 1711); HB 2986, 427. Call your State Rep and Senator. SB 1728 is moving and it is meant to cover road maintenance but it is very high. I have a Tesla S and a Cmax hybrid and I will spend an extra $450 a year in addition to registration to the state. I never spend that much on gas even for my Prius non-hybrid. CALL!!
 
Ok, under SB1711, I did find the following:

SECTION 2.28. Subchapter F, Chapter 502, Transportation
Code, is amended by adding Sections 502.257 and 502.258 to read as
follows:
Sec. 502.257. FEE; ELECTRIC MOTOR VEHICLE. Notwithstanding
any other provision of this subchapter, the fee for a registration
year for registration of a motor vehicle that uses electricity as
its only source of motor power is the greater of:
(1) $225;
or
(2) the applicable fee under Section 502.253.
Sec. 502.258. FEE; HYBRID MOTOR VEHICLE. (a) In this
section, "hybrid motor vehicle" means a motor vehicle that draws
propulsion energy from both gasoline or conventional diesel fuel
and a rechargeable energy storage system.
(b) Notwithstanding any other provision of this subchapter,
the fee for a registration year for registration of a hybrid motor
vehicle is the greater of:
(1) $125; or
(2) the applicable fee under Section 502.253.
SECTION 2.29. The following provisions of the Tax Code are
repealed:
(1) Section 151.0028(c);
(2) Section 151.314(h);
(3) Section 151.315;
(4) Section 151.317(c);
(5) Section 151.3186;
(6) Section 151.319;
(7) Section 151.320; and
(8) Section 151.424.
SECTION 2.30. The changes in law made by this article do not
affect tax liability accruing before the effective date of this
Act. That liability continues in effect as if this Act had not been
enacted, and the former law is continued in effect for the
collection of taxes due and for civil and criminal enforcement of
the liability for those taxes.
SECTION 2.31. Section 171.1012(u), Tax Code, as added by
this article, applies only to a report originally due on or after
the effective date of this Act.
ARTICLE 3. EFFECTIVE DATE
SECTION 3.01. This Act takes effect January 1, 2022, but
only if the constitutional amendment proposed by the 87th
Legislature, Regular Session, 2021, authorizing the legislature to
exempt from ad valorem taxation by a school district a portion of
the appraised value of an individual's residence homestead in an
amount equal to 150 percent of the median appraised value of all
single-family residences in the state is approved by the voters. If
that constitutional amendment is not approved by the voters, this
Act has no effect.
 
Well, the bill is close to passing. $200-$250 flat fee + additional $150 for any vehicle driven 9,000+ miles.

Texas lawmakers move to raise penalties on owners of Teslas and other electric vehicles

Since the average U.S. driver logs 13,476 miles per year, this means that nearly every EV owner will be charged an extra $350-$400 per year.

The average Texan who drives a personal vehicle pays ~$120 in gas taxes per year. Sounds fair?

I'm curious whether there are any legal minds on this board who might be able to inform on the legality of this bill? While the bill singles out a narrowly-defined group of people among the tens of millions using Texas roads in an equivalent way to pay a disproportionately high tax, the most questionable part seems to be the additional charge for people driving over 9,000 miles per year. The state has no way of knowing how many miles on a given vehicle are accumulated in-state vs. out-of-state (I accumulate the majority of miles on my vehicle from out-of-state road trips), so the State of Texas is effectively levying a state tax on interstate activity, which would seem to violate the United States constitution. Am I missing something here?

Additionally, it likely leads to double taxation, for Texas EV drivers, as some states likely enact some form of tax on public charging stations as their analog to the gas tax, causing Texas drivers to pay taxes in other states for activity that is also increasing the taxes they pay in Texas.
 
The Texas legislature's agenda is to nullify federal subsidies for greentech. This is a real thing. They are trying to penalize wind and solar power to undo federal subsidies. This bill's $450/year, added over the typical 17 or 18 year life of a car, neutralizes the $7500 federal EV subsidy. That's where the $450 number comes from.
 
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Well, the bill is close to passing. $200-$250 flat fee + additional $150 for any vehicle driven 9,000+ miles.

Texas lawmakers move to raise penalties on owners of Teslas and other electric vehicles

Since the average U.S. driver logs 13,476 miles per year, this means that nearly every EV owner will be charged an extra $350-$400 per year.

The average Texan who drives a personal vehicle pays ~$120 in gas taxes per year. Sounds fair?

I'm curious whether there are any legal minds on this board who might be able to inform on the legality of this bill? While the bill singles out a narrowly-defined group of people among the tens of millions using Texas roads in an equivalent way to pay a disproportionately high tax, the most questionable part seems to be the additional charge for people driving over 9,000 miles per year. The state has no way of knowing how many miles on a given vehicle are accumulated in-state vs. out-of-state (I accumulate the majority of miles on my vehicle from out-of-state road trips), so the State of Texas is effectively levying a state tax on interstate activity, which would seem to violate the United States constitution. Am I missing something here?

Additionally, it likely leads to double taxation, for Texas EV drivers, as some states likely enact some form of tax on public charging stations as their analog to the gas tax, causing Texas drivers to pay taxes in other states for activity that is also increasing the taxes they pay in Texas.
Yesterday I finally registered my California 2019 M3 in Texas, it cost $193, including $90 in some BS sales tax. I also registered a 2015 Kia Optima as well, it too was $193 including the same BS sales tax of $90.
 
I emailed my state representative and Senator. Hope it wasn’t to late.

Here’s what I sent.


I was disturbed when I became aware of this bill today attempting to penalize Texans for purchasing electric vehicles. The bill ostensibly is for the equalization of taxes paid by alternative vehicles to help cover road maintenance which is an issue as more EVs bypass the Texas gasoline tax.

However the regressive flat fees are anything but equalizing. My truck which weighs 33% more than my EV and gets 17mpg only pays $110 per year in gas taxes. Under this new bill my lower weight EV will pay twice that amount regardless of the miles driven. Whether the Texas Legislature likes it or not transportation is changing and these types of regressive heavy handed government bills only serve to make Texas less competitive to other states for new businesses and to irritate her constituents.

This bill should be an obvious no vote.

Sincerely
DrLOAC
 
I emailed my state representative and Senator. Hope it wasn’t to late.

Here’s what I sent.


I was disturbed when I became aware of this bill today attempting to penalize Texans for purchasing electric vehicles. The bill ostensibly is for the equalization of taxes paid by alternative vehicles to help cover road maintenance which is an issue as more EVs bypass the Texas gasoline tax.

However the regressive flat fees are anything but equalizing. My truck which weighs 33% more than my EV and gets 17mpg only pays $110 per year in gas taxes. Under this new bill my lower weight EV will pay twice that amount regardless of the miles driven. Whether the Texas Legislature likes it or not transportation is changing and these types of regressive heavy handed government bills only serve to make Texas less competitive to other states for new businesses and to irritate her constituents.

This bill should be an obvious no vote.

Sincerely
DrLOAC
His response should be interesting.... please keep us informed.
 
Am I skipping over a portion of the bill that is adding the fees of sections 502.503 and 502.504 together?

The latest copy of the bill out of the House Transportation Committee (https://capitol.texas.gov/tlodocs/87R/billtext/pdf/SB01728H.pdf), for the mileage fee section (502.504), starts as follows:

"MILEAGE FEE ALTERNATIVE. (a) In lieu of paying a fee under Section 502.503, a person who applies for registration or registration renewal of an alternatively fueled vehicle that is equipped with an odometer may pay an annual mileage fee."

So a 6k+lb EV going 12k+ miles a year will face $240+10 annually no matter which section is chosen, but I don't see where the values would be added together.
 

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