Federal Excise Tax 18¢
State Excise Tax 18.3¢
Underground Gas Tank Tax (Federal) 1¢
Underground Gas Tank Tax (State) 1.4¢
Misc State, County and Local Taxes approximately 26.1¢
Total California Gasoline Tax: 63.9¢
The sales tax rate in CA is 8.25%, which is applied to the gasoline and the federal and state excise taxes. So your 36.3¢ in excise taxes, is itself taxed by 8.25%.
That’s roughly another 3¢ in tax on top of your excise taxes, making the total taxes 66.9¢ a gallon.
Taxing a tax is Double-Taxation.
Now, if you live in California, the money you are using to pay for the gasoline and its taxes has already been taxed. So, you are using your after-tax dollars to pay excise taxes that are then taxed themselves by the sales tax.
Using after-tax money to pay for taxed taxes is Triple-Taxation.
- We have the highest sales tax rate in the country.
- We have the highest gasoline taxes in the country.
- We have the #1 highest income tax rate in the country.
Just because Hawaii raised their rate on the few millionaires they have to the highest in the nation doesn’t make up for California raising their tax rate on the majority of their population like singles making $47,000 ( and $94,000 for couples) to 9.55% while HI, for the same middle-class tax bracket is at 8.25%.
We can’t balance the budget, fund state worker pensions or healthcare, maintain public infrastrucutre like roads and electric grids, keep prisoners in jail or score anywhere accept on the bottom in national education performance tests.
With the highest taxes in the nation, in the 7th largest economy in the world, how can anyone still believe that increasing taxes or adding more taxes is the answer to any of our problems?
With all the tax money this state generates, we should be #1 in education, #1 in infrastructure, #1 in everything. Instead, we are dead last in all of it…despite the highest taxes.
There is not enough money anywhere to fill any government spending hole.
And the logic follows that if being the highest taxed state doesn’t fix any problems, then it’s not about how much money the state has, it’s about how, and who they are giving it to.