Gas Price Solution

The following was e-mailed to me with along with permission to post it.

By Sovereign Dave

I have a solution to the gas price situation. Since both sides are arguing about the outlandish profits made by the oil companies, I say “Nationalize Them” “¦and all the Gas stations too. In this way all the stations will be the same”¦.no more Speedway and no more BP”¦all of them would just say “Internal Gas Service”. They could be staffed by federal government workers thus satisfying the need for employment. [Just like airport security of late]. The government could negotiate and buy oil in vast quantities thus eliminating those outlandish profits. And since they are nationalized, the station’s workers could track illegal Mexicans buying gas to boot. Of course all this could be justified by our leaders by declaring another war””namely “The War on Gas”. This follows the other long list of wars on pronouns signed-off under War Powers such as, “The War on Drugs”, “The War on Poverty”, and the infamous but now losing its nationalistic appeal, “The War on Terror”. In addition the War on Gas would go hand-in-hand with the War on Illegals as you will soon see. And of course those non-Art III “courts” called Federal District Courts would justify same under Interstate Commerce by black-robe Legislators creating decisions favorable to the IGS and DOJ.

Now here is how this would work. Your car VIN number would be keyed into the gas-allocation system for all the gas stations along with your SSN. Only people with papers would be permitted to buy gas [aka ID]. Along with your deduction of your paycheck for federal, state and FICA would be a “Gas Withholding Tax”. Depending on the type of vehicle you drive, you would have a certain amount of money withheld from your paycheck for gas. When you pulled into the station you would be debit-ed from that amount you had withheld. If you consumed more gas than was withheld you would have to file quarterly “Estimated Gas Taxes”. Not to worry—every gas station would house an HR Block to help you file and pay for your Gas Tax. No longer would the poor have to worry about the high price of gas for they would get an “Earned-gas-credit”. Of course you would file a W-GAS withholding statement with your employer indicating the type of vehicle, the number of vehicles, and whether you want any extra gas withholding exemptions.

Let’s give a practical example: Phil makes $50,000 per year, drives an SUV getting about 15mpg and he drives 15,000 miles per year. His Gas Tax would be about $3600 per year. Every two weeks only $150 would be deducted from his pay check as Gas Withholding Tax. Not much, right?

Now for the BEST part. If Phil drove much less, he would actually get Gas Tax back. So in other words, when Phil computed his gas taxes at the end of the year he would actually get Gas back [or money back] at the end of the year. Let’s say Phil only drove 7500 miles per year. He would get back $200 in gas withholding back! People would get very excited over this program for at the end of the year they would proudly proclaim, “HR Block computed my Gas taxes and I actually got Gas money back from the Government! ”

This is of course a humorous look at the Gas situation”¦.along with the present state of regular withholding tax. My point is simple: While politicians point the finger at the oil companies making “outlandish” profits they distract you from the federal government taking the REALLY outlandish profit of near 40% directly from your wallet. I’m amazed ! People scream at the amount they pay at the pump because they see the money slip through their hands”¦.yet they don’t notice the 20-fold amount slipping from their paycheck every month. And if they do, they “forgive” same under the apologist excuse of, “Oh well”¦that’s just government!” We really need to focus on the bigger thief and stop forgiving that thief simply because we are Stockholm Syndrome victims.

[After Thoughts: When I put out the piece above it was meant to be a little bit of a shocker as it appears socialist or communist. I must say, something unexpected happened: many people never read this in its entirety and never got to the portion that identifies it as humorous. Hence I received comments such as, “That communistic!”. Unto itself this is an ironic revelation for as the piece points out, they already accept something of worse communism (or socialism). In order to get the point, one really has to read the story in its entirety. My hope was to wake-up a target audience with an analogy that on initial face value seems almost plausible”¦.and almost seems too good to be true”¦.but when one reads between the lines and does the mental math”¦one realizes that the Phil character in the piece is really getting screwed. He gets screwed four ways: (1) The amount taken from his paycheck looks small taken on a bi-weekly basis but in reality is at a cost to Phil of $3.60 per gallon–far more than what a nationalized no-profit gallon would cost. (2) The amount is withheld so in essence government is getting to “work-on” Phil’s money before Phil gets same (3) Notice that if Phil drove ½ as many miles less the only money he got back was $200″¦..a token”¦.yet because he gets it back, and because he never saw it actually leave, it seems like a gift (4) He no longer has as much personal freedom–as he now has to file and track his Gas Tax. Folks”¦.isn’t this the same point about the Federal Income Tax system? ]

Stephen Gordon

I like tasteful cigars, private property, American whiskey, fast cars, hot women, pre-bailout Jeeps, fine dining, worthwhile literature, low taxes, original music, personal privacy and self-defense rights -- but not necessarily in this order.

  1. I like your idea, except for the tax. One reason being do you know how much in interest the government would stand to make from something like that? You would be putting money in faster than you would be taking it out leaving them with a huge bank of money to just collect off of.

    Another reason i dont like the tax is because im forced to spend that money and can only get it if i need gas or at the end of the year when i get my return. Just an example… Say they took $200 out for me for one month, but during that month i only use $100 worth of gas because i had a vacation and used my wifes car for most of the month. Now instead of having that extra $100 in my pocket which could be used towards bills or used to take my kid to a baseball game now cant be used because the government is holding it.

    But as far as nationalizing them and being able to buy more in quantity making a cheaper rate per gallon is a good idea.

  2. It’s a joke, guys. He’s making fun of the system, not actually suggesting that we nationalize the oil industry.

  3. Gah. I’ll do it this way.

    “Sign now to urge Congress to take action on gas prices

    Dear Mr. President:

    As a resident of Arizona, I am joining Governor Janet Napolitano in calling upon your administration to urge Congress to act on legislation affecting gas prices.

    For far too long, we have experienced sharp spikes in the cost of gasoline, while oil companies take in record profits. I join our state’s Governor and my fellow Arizonans in asking you to urge Congress to work on a comprehensive legislative package that results in lower fuel prices and encourages a sound energy policy, including incentives for companies to work on alternative fuel sources.

    I know this issue is as important to you as it is to the people of this country.”

    The above is a form letter on Janet Napolitano (AZ governor)’s website.

    So as much as it’s a joke… people are already TRYING to get someone to vote for it.

  4. Sorry if this offends anyone, but if you can read that up until the part that says it’s humorous and NOT know it’s a joke, there is really something fucking wrong with you.

    At first I wanted to say one would have to be a “fucking idiot” not to “get” that. But maybe that isn’t fair. Maybe people are just THAT conditioned to the point that they can read something that fairly obviously points out what is WRONG with whitholding and socialism and why it would be wrong to do it with yet another service- they are just completely oblivious, and think it’s a GOOD idea?

  5. Frank — again, I say: too late. Comment #4,5, here.

    Further — the Good Ol’ State of Hawaii. (Yes, I know, juxtaposition of the “Good Ol'” appelation… >:) )

  6. Another way around the fuel crunch:

    Allow American farmers to grow commercial hemp.

    Of course, the Drug Worriers will bleat and whine and call it “pot”, but those freaks are ignorant, so who cares what they think? Ethanol can be made from hemp. LOTS of things come from it. Should even make the tree-huggers happy.

  7. I understood it was a parity of the ridiculous income tax scheme that is the single biggest drain on the typical American.

    Economists and Libertarians will see it for what it is.

    But I worry that most people will see it as a well thought out idea to combat the ‘profiteering’ of big oil. Most people don’t understand the free market, and consequently they fear it.

    I cringe when the media uses the words ‘profiteering’ and ‘price gouging’. That’s usually the first sign the government is about to regulate and legislate the free market into an inefficient and frustrating mess.

    If only we could get Economists listed as a required subject in school…

  8. If only we could get Economists listed as a required subject in school”¦

    Just make sure that your kids don’t take it at a gov’t school. If they do, you will then have to deprogram them. Better to teach it to them yourself.