Comment 39875

By Kiely (registered) | Posted April 16, 2010 at 10:44:30

Cars do not generate enough tax revenue to pay for themselves:

In fact, Transport Canada did a study [PDF link] in 2005, which found that the annual total financial costs of the road system in Canada are $16.5 to $25.8 billion, while annual revenues from fuel taxes and fees at the federal and provincial levels were only $12.8 billion, i.e. a shortfall of between $3.7 and $13 billion per year.

Yes they do, they are the king of consumer products being many people's first or second largest financial investment. Fuel taxes and fees are not the only money generated from cars. They create jobs and therefore income tax revenue, there is GST and PST on new cars, PST on used cars, GST and PST on car parts and service, tire taxes, drive clean revenue, banks make interest on the leases and loans, etc... So the numbers presented in the link provided are not accurate of the full financial impact of cars. Cars are literally the engine of our economy (unfortunately). Why do you think governments in almost every major car manufacturing country threw money at the car manufacturers to bail them out? They know the financial impact. Not that I agree with what they did mind you.

$16.5 Billion to $25.8 billion is a pretty big range. Their numbers can't even provide an accurate financial short fall to within $9 billion??? Also the roads are not solely for cars. Emergency services, food, product and home fuel delivery, (and yes, even bikes) depend on our road system so assigning full cost of the road system to cars is fudging the numbers.

cyclists already pay as much tax

No they don't. If you are talking simply property or income tax , sure, but we are taxed way beyond that in this country. There is no fuel tax on bikes, no registration or license fees (i.e., tax), no insurance costs (which you pay tax on) and GST and PST are much less on a new bike than a new car. Owning a car causes the owner to be exposed to many more taxes than owning a bike.

I support the bike lobby but let's start dealing with the truth here Ryan. You discredit your cause when you don't.

to punish and deter cycling for base political reasons

To be clear, I do not disagree with this statement... but I am not surprised some politician proposed a fee either.

Comment edited by Kiely on 2010-04-16 09:45:52

Permalink | Context

Events Calendar

There are no upcoming events right now.
Why not post one?

Recent Articles

Article Archives

Blog Archives

Site Tools