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As EV Uptake Grows, States are Scrambling to Replace Taxes from Gasoline

Several states in America are scrambling to replace gasoline taxes as more and more of their residents replace their internal combustion engine (ICE) vehicles with electric vehicles. This has resulted in situations where states pass levies or taxes on people who purchase battery electric vehicles (BEVs) that some stakeholders referred to as penalties for purchasing an EV. Ironically, many of these states offered their residents EV subsidies before deciding to slap them with a tax for EV ownership.

Those who support these electric vehicle taxes say they are needed to replace the gasoline taxes states would use to maintain their…

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