Brownsville herald. [volume] (Brownsville, Tex.) 1910-current, 1928-02-10
TEXAS DAILY PRESS LEAGUE
Foreign Advertising Representatives
The Future of the Gasoline Tax

The future OF the gasoline tax rests with the dis
erection of the state legislatures. is the conclusion of
F. G. Crawford, professor Of political science in SYRIA
cuse University. who has devoted a year to a study of
the gasoline tax problems of the various states. Pro-
lessor Crawford warns that the ambition Of legisia-
lures to raise revenue from this source may result in
serious reactions If they attempt 20 place the tax too
high.
The gasoline tax plan has been adopted in 46 Of
as states, and New York and Massachusetts, legisla-
lures are now preparing bills. In 1927 gasoline taxes
brought revenues totalng s225, 100000, an increase of
approximately s3o,000yG0O over 1926. In 1921 only IS
states had the tax and a total Of 100000 was col
1ected.
Due to the fact the tax is easy to collect there is
a tendency on the part of politicians TO increase this
source of revenue. So long as the payer of the gaso-
line tax is satisfied that the major part Of the tax will
90 into highway improvement there has been no siren
nous objection to increases. but if the Legislators and
politicians propose to utilize this source for general
revenues they will eventually create a reaction that
may result in complete elimination Of the tax.
The average user Of gasoline realizes that every
dollar paid in gasoline taxes which is used for high
way improvement is a good investment. =e receives
a direct return in the way of decreased eaSGpHep
and greater mileage per gallon. So long as thesAnds
are used for this purpose he will register no objection
70 a moderate tax. The success Of the gasoline tax
rests upon the low cost of collection. the diffusion Of
the burden on the tax bearer and the fact that no i'm
portant group has a real economic or social motive
for opposition. But in the event the legislators and
politicians should attempt to utilize this source of pro-
life revenues TO carry the burden of the state, there
will be immediate and strong opposition.
The cost of collecting the gasoline tax is very
low. especially where the collection is made rom the
wholesalers. In all states. except three in which the
collection is made from retailers, the cost Is less than
] per cent Of the revenue. An increase in the amount
of the tax Ia sheen found to reduce the percentage OF
collection costs, and this hos led several states TO I'M
pose e burden of taxation heavier than justified.
There has always been a tendency on the part Of
legislators after having discovered a prolific source
Of revenue to kill the goose that lays the golden
egg" by endeavoring to secure more revenue from
that source than is justified. The American taxpayer
is generally fair, and does not object strenuously to a
tax when he is assured it is justified and that the
revenues therefrom are to be used for improvements
which will benefit the source from which the tax s
derived. However. they are opposed to placing an IN
necessary burden upon any one commodity Of general
use merely because the tax j. easy TO collect and the
source from which il is derived is unfailing.
In many states road bonds have been issued. the
interest and sinking fund to come from the gasoline
tax. In some states the gasoline tax for this purpose
runs as high as 4 cents per gallon, and there is no
serious opposition because the users Of gasoline know
they are getting value received. But il that tax were
20 be applied to other than road purposes they would
be fully justified in demanding that It be repealed.