NEW YORK (1010 WINS) — New York State Sen. Tony Avella, of Queens, is promoting a proposal that would require the city to tax gasoline sales at a flat rate, rather than as a percentage of the price per gallon.
Avella, a Democrat, said the city makes a lot of extra cash when gas prices go up because it collects more from sales tax. He doesn’t think it is fair to drivers.
“Obviously the price of gas is going up significantly. We need to do something for consumers and the city never budgeted for this extra windfall. So we’re not affecting their budget and I just think it’s the right thing to do,” he told 1010 WINS.
The savings from switching to a flat rate — which would equal 8 cents a gallon as opposed to the 4 percent per gallon the city charges — would save the average motorist around $80 per year, according to the senator.
Avella said New York City’s tax is the only gas tax that charges by percentage. He said federal and state taxes are flat.