8 States Miles Driven Tax Plan

What is happening? In 2022, Hawaii, Massachusetts, Minnesota, Tennessee, Utah, Vermont, Virginia and Washington all considered programs, or pilot programs, to establish a pay as you drive tax system for vehicles. The technicalities may differ (self reporting, annual odometer readings, or device attached to vehicle) but all programs were voluntary.

Why does this matter? Let’s look at Utah’s miles driven tax program. In 2023, it starts at 1cent per mile. IN 2024 it will get adjusted for inflation. Then the tax will rise as follows:

• 1.25 cents a mile in 2026
• 1.5 cents in 2032

Route Fifty | As Electric Vehicles Shrink Gas Tax Revenue, More States May Tax Mileage