Tag Archives: Peter Franchot

Economics of Gas Taxes

Peter Franchot, the MD State Comptroller, has floated the idea of a gas tax holiday over one of the upcoming summer long weekends.

While gas prices have dropped about 10 cents per gallon over the last week, the Maryland average is still about $3.85 a gallon — about a dollar more than the same time last year.

A high-ranking state official who has vowed to fight soaring gas prices is floating the idea of a gas tax holiday, according to 11 News reporter David Collins.

Comptroller Peter Franchot plans to pitch a three-day gas tax holiday to the Maryland General Assembly, Collins reported Thursday.

“We think it would put Maryland on the map, and it would more than pay for itself through increased economic activity,” Franchot said. “Most of all, just give Maryland citizens a break.”

The current state gas tax is 23.4 cents per gallon. At one station Collins visited Thursday, a 15-gallon purchase would cost $56.25. With the gas tax lifted, the bill would have been reduced by $3.50.

I heard Franchot on the radio yesterday, explaining that certainly we can’t do it permanently, because of the revenue loss, but over a weekend the loss of $6 Million in revenue would be offset by increased economic activity, and would be a net gain for state tax revenue, as well as good for residents of the state.

How is it possible he understands eliminating the tax for a short period of time would have a net positive benefit, but doesn’t understand that it would have a positive benefit if it were eliminated permanently?

Advertisements

Maryland Comptroller Studying Wine Shipping

Well, that sounds positive.  Until you realize the only people invited to the first meeting were representatives of the liquor distribution industry.  No consumers attended the meeting.

Wine drinkers said they were dismayed to find that they weren’t invited to the first meeting last week held by the Maryland comptroller’s office to study the wine-shipping issue.

The study commission seems to be focused on the potential impact on liquor wholesalers and distributors, and could “overlook” consumers, said Adam Borden, former executive director of Marylanders for Better Beer and Wine Laws.

Of course anything they do will be focused on liquor wholesalers and distributors.  That’s who write the checks to those campaigns.

There’s an election in November, Maryland.  Time to do some housecleaning.  Ask your representatives where they stand on this issue, and how much money they take from distributors.  If you don’t like the answers, vote for someone else.


%d bloggers like this: