SB 20; ACR - IRC Update/Motor Fuel Tax Changes

This bill will initially lower the states gas tax, but also sets a floor for the tax leading to a higher tax than would have been in place without this law. After establishing the floor, the gas tax will increase annually according to a rate tied to inflation and population growth. Legislative forecasts project the gas tax floor will cost North Carolina motorists an additional $1.2 billion over the next four years. Moreover, combining the gas tax increase with unrelated IRC code compliance changes appears to be a political ploy. There is little legitimate justification for not presenting these distinct issues as separate, stand-alone bills. Civitas believes the conservative position is to oppose higher taxes. The conservative vote is no.