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Posted on 05/07/2011 8:26:00 AM PDT by originalbuckeye
There are two types of taxes that you see at the pump. Sales tax (if your state has it) and a per gallon tax.
In California, there is 18 cents per gallon plus a 6 percent sales tax. In addition, there is an 18.4 cent federal tax.
California residents pay roughly 36.4 cents per gallon, plus another 25.5 cents per gallon sales tax (at sale price of $4.25 per gallon) for a total per gallon tax of about 62 cents per gallon.
On a typical 16 gallon fill-up costing $68.00, $9.92 is tax paid at the pump.
http://www.californiagasprices.com/Tax_Info.aspx
It’s all part of the 0bama/Soros plan!!
Whatever you do, remember this.. Oil companies are only in it for humanitarian reasons and never want more profits.
The oil/gas market is entirely a free market and is never manipulated by aramco and the producers.
If you truly believe the above you’ll go far on the FR “gas prices are only government results” mentality. You have to believe and clap your hands really hard.
The service stations always charge what it will take to refill their tanks...the gas in their tanks may have been lower but to refill them will cost them more... thats where the up price comes from...
Meanwhile the wolesale price is didctated by the COGs paid at the well head. which does not change as quickly as the specualtors actions.
Actually, in California, the state sales tax on gas is 2.25%.
The excise tax per gallon went up 17.3 cents and the sales tax went down July 1, 2010.
Per the State Board of Equalization:
3. How does the Gas Tax Swap apply to motor vehicle fuel?
Beginning July 1, 2010, the retail sale of motor vehicle fuel is partially exempt from sales and use tax. The partial exemption applies to 6 percent of the current state sales and use tax rate. Therefore, retail sales on or after July 1, 2010 are subject to sales and use tax at a rate of 2.25 percent plus applicable district taxes.
Additionally, beginning July 1, 2010, the state excise motor vehicle fuel tax goes up by 17.3 cents ($0.173) per gallon. As of July 1, 2010, the new state excise motor vehicle fuel tax rate is 35.3 cents ($0.353) per gallon.
http://boe.ca.gov/sutax/gasswapfaq.htm
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And what is the total amount of tax per gallon paid at the pump?
Also, how do you feel about congestion pricing? That will certainly had to the cost of motoring where it will be applied.
Nonsense. The EPA has just as many requirements in winter fuels as well. The difference is a lower vapor pressure requirement in the spring. (The actual nonsense is by the EPA, all year long).
My bet is that this spread typically enlarges in the spring and summer months due to what I’m describing.
I don't have a graph handy at the moment but what I've seen in the past is is not related to seasons. I have seen a trend when oil price first gets high the margin's tend to get squeezed small until the price begins to equalise. On a percentage, a small term spike in oil will not directly relate to gasoline price spike. It will go up but not as much.
See July 2008 as an example:
I respect your opinion and experience.
Yet, empirically, most but not all, years we see prices *do* spike up in the “summer driving season” only to go back down around labor day.
This makes sense superficially - mom and dad are loading the kids in the station wagon to go off and see the Grand Canyon or Wally World - hence demands goes up - hence prices rise.
Except in the grand scheme of things it always seemed to me that that would require a hell of a lot of station wagons loaded down with kids headed for Wally World to make a dent in the overall gasoline market.
The Wall Street Journal has often editorialized on the EPA mandated boutique fuel requirements so I put two and two together and theorized that the “Summer Driving Season” was in reality the “EPA mandated boutique fuel artificially induced shortage Gasoline Price Rise Season”. Not true in your view?
I also thought that the situation was that when you move to the lower vapor pressure requirement in the springtime that’s what translates into the number of *different* fuels required which is in essence the real problem. That in the winter time the vapor pressure requirements get relaxed which in turn translates into far fewer *different* fuels needed to meet all the EPA mandates which introduces huge economies of scale that go missing in the springtime. Not true?
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