TPA Sends Letter to Senator Barrasso in Support of “The Fairness for Every Driver Act”

David Williams

October 10, 2018

October 10, 2018

Senator John Barrasso

U.S. Senate

307 Dirksen Senate Office Building

Washington, DC 20510

Senator Barrasso:

The Taxpayers Protection Alliance (TPA), representing millions of taxpayers and consumers across the country, writes in support of your “The Fairness for Every Driver Act,” which would repeal the federal electric vehicle tax credit.  

In 2008, then-President Bush signed into law an up-to $7,500 tax credit for the purchase of the first 250,000 vehicles on the market. As a part of his massive, ill-advised stimulus package, then-President Obama expanded this credit to include the first 200,000 vehicles sold by each manufacturer in the United States. Now, as major auto brands such as Tesla are breaching that 200,000 milestone, lawmakers are considering extending the credit to the tune of billions of taxpayers’ dollars.

But, policymakers ought to question the wisdom of such a costly move, which would be a handout to high-income families.Dr. Wayne Winegarden of the Pacific Research Institute noted that households with adjusted gross incomes greater than $100,000 received 80 percent of EV tax credit dollars, according to the latest available data. Taxpayers and consumers deserve better than a thinly veiled redistribution plan that bilks struggling households for higher costs. 

This bill would also “guarantee alternative fuel vehicle users pay into the Highway Trust Fund.” This is critical because the Highway Trust Fund revenues are barely covering America’s large and growing infrastructure problems.  Alternative fuel vehicles shouldn’t have a “free ride” on America’s highways.   

The “The Fairness for Every Driver Act,” should receive bi-partisan support.  Republicans and Democrats should agree that eliminating subsidies for higher income folks and strengthening the Highway Trust Fund are top priorities.

David Williams
Taxpayers Protection Alliance