THEY STARTED IT!
Oregon was the first state to adopt a tax on gasoline. That was done in 1919 and by 1929, all of the ,then, forty-eight states had decided that was a good way to bring in additional revenue. One has to wonder about just how many cars infested the highway system of Oregon in 1919. I doubt that traffic was extensive enough to support an argument that it would “bring in millions” and I can't imagine what they used to argue their cause for imposing a tax on fuel for 1919 cars It may have been just another way to fight the growth of the horseless carriage
A Federal gasoline tax was started in 1932 set at a cautious one-cent per gallon. By 1929 it was 4-cents per gallon . Since that time it, along with state and, some local taxes have increased noticeably. The main intended use for such funds as were gathered from gas taxes has always been for the maintenance of existing highway and for the construction of new or better ones as needed.
The other area of taxation which has shown growth is that set upon tobacco and products thereof. They have varied a great deal depending on the section of the nation and their ability to grow, process or ship tobacco products to the world markets. The State of Iowa was the first to put a tax to put a tax on tobacco in 1921 and all the states got on the wagon promptly. Some states prefaced tax action by prohibiting smoking in various locations. Louisiana , for example, in 1890, decreed: “No smoking on street cars.” Tobacco raising states Virginia and North Carolina lagged far behind, however, even when the thing became endemic. They , too, in recent actions have now increased their tax take, as well, but it is still small compared to that imposed by other states. Between 1970 and 1975, forty-two different laws went into effect concerning tobacco use and taxation schedules. Fines have been imposed on the tobacco industry to an unprecedented degree and the business does not face a bright future unless it would in in the possible expansion of their overseas potential.
More than we might realize, taxation tells the tale when we study human social and governmental systems. The Boston Tea Party was one such gathering we all remember.
A.L.M. October 11, 2004 [c408wds]