U.S. House Republicans advanced a new $250 annual fee on electric cars but dropped a $20 federal yearly registration fee on all vehicles starting in 2031 to fund road repairs as part of a tax reform bill under consideration.
The suggested annual EV registration fee, which essentially operates as a tax, is based on a Federal Highway Administration estimation that the average American uses about 550 gallons of gas per year.
If the bill passes, EV owners would be paying an annual registration fee more than twice the average gas tax or the equivalent of the $0.184 tax on 1,389 gallons of gasoline. A proposed $20 annual fee for all drivers that was part of the bill was dropped.
