Illinois Legislator Proposes Massive EV Tax Hike

May 9, 2019

The cost to own an electric vehicle in Illinois may soon be exponentially increased if proposed legislation passes.

Illinois Democratic Senator Martin Sandoval introduced the legislation that aims to pay for repair roads and bridges by increasing the cost by increasing the gas tax to 44 cents per gallon, increasing the driver license fee to $60 from $30, and adding $50 to traditional car registration to $148 annually.

While increasing those taxes are likely to be met with public unrest it is the cost to register an EV. The current cost is an annual fee of $17.50. The proposed increase moves that number to $1,000.

Yes, $1,000.

Sandoval said that the plan would raise an estimated $2.4 billion for the state and that the increase in electric vehicles has added to the problem because it has cut revenue available to fix the traffic infrastructure.

“We have fallen behind. Our continued investment in our Illinois infrastructure is key in creating jobs, promoting full economic recovery,” Sandoval said Wednesday at a statehouse news conference. “Investment will boost productivity, support business growth, create jobs, provide a healthier environment and improve opportunity for Illinoisans. It is about time. Doing nothing is not a solution.”

Democratic Governor J.B. Pritzker echoed the support for a program to improve its crumbling roadways, claiming that the move would be bi-partisan.

“Passing a capital bill is a top priority for the governor this legislative session,” said Pritzker spokeswoman Jordan Abudayyeh. “Bipartisan working groups are discussing various components of a capital plan, including both projects and potential revenue sources, and the administration is working with federal partners and engaging local stakeholders on the needs for their communities as the process moves forward. We look forward to introducing a bill soon.”

Illinois has been fairly unchanged in its gas tax since the early 1990s where 30 states have increased their rates in that time. Additionally, 20 states have imposed a special registration for EVs, with Georgia and West Virginia having the highest at $200 per year.

Illinois voters can contact Governor Pritzker’s office or their state legislators to comment on the proposed bill.

To learn more about the legislation, read the Chicago Tribune article.

Contact us directly.

We know that not every project is the same and that not every application is an easy spec to meet. We want to talk with you to meet the need of any challenge that you have.

Click the platform below that you would like to share this on. Thanks for sharing!