California governor candidate Matt Mahan floats revolutionary new EV tax

San Jose Mayor Matt Mahan raised eyebrows by floating a tax on electric-vehicle owners during Tuesday night’s gubernatorial debate.

Mahan proposed the levy, along with a tax on high-income earners, while pushing to suspend the state’s gas tax as fuel prices continue to surge.

AP

“We need to reform this tax and make sure EV owners and higher-income owners are paying their fair share,” said Mahan, a moderate Democrat who’s gotten support from Silicon Valley.

It marks the first time he has publicly mentioned a charge on electric vehicles.

Mahan has been loudly advocating for a suspension of the gas tax — a point Republican candidate Steve Hilton noted during the debate that he has also supported.

“I grew up in a farming town. I know what it means when the cost of gas goes up a dollar,” Mahan continued. “People start actually having to make really tough trade-offs. Can you pay the rent? Can you put food on the table?”

Currently, federal tax credits of up to $7,500 are available for the purchase of all-electric and plug-in hybrid vehicles.

In California, EV drivers are subject to a $121 annual road-improvement fee upon registering their vehicles to make up for lost gas taxes.

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On his campaign website, Mahan outlines a tax policy section titled “Working Families Deserve Relief — Right Now.”

“A temporary gas tax suspension isn’t a political statement — it’s a common-sense step to provide immediate relief,” the description reads, without referencing any proposed taxes on EVs.

The California Post contacted Mahan’s campaign for further comment.

Mahan is currently polling on the lower end among the top qualifying candidates for governor. Leading Democratic contenders include Xavier Becerra and billionaire Tom Steyer, followed by Katie Porter.

He has raised the most campaign funds — more than $12 million — of any candidate who is not self-financed, trailing only Steyer, who is financing his campaign with personal wealth.