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STATES CHRONICLE – Gary Cohn is the top economic advisor at the White House. He reportedly opened up the topic on tax increase on gasoline on Wednesday. Donald Trump has also commented on this idea at the start of his presidency term. However, it is only now that the White House advisor came back to it.
White House Advisor Reportedly Encouraged Bipartisan Group to Propose Gas Tax Increase in 2018
Cohn is the head of the National Economic Council and reportedly informed a moderate group of Republicans and Democrats of an upcoming opportunity. The Congress is going to propose an infrastructure package at the beginning of 2018. This is the best moment for Cohn’s group to suggest a gas tax increase.
Cohn brought up this subject during a discussion with Problem Solvers Caucus on a $1.5 trillion tax cut. This bipartisan group wrote a letter this summer addressed to President Trump. The text highlighted two issues that need solutions with high priority. These two points are an infrastructure investment and tax reform.
The Government Grant Hasn’t Changed Since 1993
The U.S. government is receiving a charge of 18.4 cents for a gallon of gasoline. The Highway Trust Fund collects the levy. In its turn, this organization has to cover mass transportation and road construction expenses. While these projects got more and more expensive, the gas tax remained the same as it was 24 years ago.
Back in May, Donald Trump discussed the idea of a gas tax raise in order to elevate funds for improvements the U.S. infrastructure needs. Afterwards, the White House Press Secretary Sean Spicer tagged the president’s discussion as a suggestion and not an endorsement. Spicer claimed that an organization of truckers contacted Trump to consider a tax hike to create the means for patching up the roads.
At the moment, the national average price for gasoline shows $2.45 per gallon. On the other hand, White House advisor Cohn did not specifically support the tax increase. However, the nation is in dire need of repairs and upgrades to its transportation infrastructure, and Cohn is aware of that. On top of that, the more gasoline becomes a luxury, the more appealing the electric vehicle market looks.
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