Drivers fume over push that could see them taxed for every mile

February 1, 2026 • 19:05

California lawmakers are exploring a per-mile tax to compensate for declining gas tax revenue, exacerbated by the state’s budget deficit and the rise of electric vehicles. The proposed bill, AB 1421, directs further study of mileage-based taxation options, with potential charges ranging from two to nine cents per mile, amounting to hundreds or even over a thousand dollars annually for drivers. Critics, including Republican legislators and residents, decry the proposal as a “mileage tax” that disproportionately burdens rural residents and low-income individuals, while also raising significant privacy concerns about government tracking of travel habits. Proponents argue the current transportation funding model is unsustainable as vehicle technology evolves. Several other states are also experimenting with or implementing similar mileage-based road usage charges.

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