State Senator Greg Rothman | Official U.S. Senate headshot
State Senator Greg Rothman | Official U.S. Senate headshot
Legislation sponsored by State Senator Greg Rothman (R-34) to eliminate Pennsylvania’s Alternative Fuels Tax (AFT) on electric vehicle (EV) owners and replace it with a flat fee is set to become law. Senate Bill 656 aims to reduce the procedural burden on EV owners, simplify the process, and eliminate the need for monthly reports.
“This legislation will simplify government for electric vehicle owners and ensure all drivers are contributing toward the maintenance of Pennsylvania’s roads and bridges,” Rothman stated.
Currently, EV owners are required to file monthly statements with the Pennsylvania Department of Revenue and remit the alternative fuel tax based on their vehicle's electricity usage. However, many EV owners either do not comply or are inconsistent due to the cumbersome process or lack of awareness.
The final version of Senate Bill 656 passed today reflects bipartisan agreement aimed at ensuring greater parity for vehicles traveling Pennsylvania’s roads and bridges. The annual flat fee established by this legislation includes a three-year phase-in period and will ultimately be tied to economic conditions, ensuring continued fairness.
Plug-in hybrid EV owners will pay a flat annual fee equal to 25% of the EV fee. Commercial EVs weighing more than 14,001 pounds will continue to be subject to the AFT.
Similar to Pennsylvania’s gas tax, revenue from the flat EV fee will be deposited into the Motor License Fund for highway maintenance and construction.
The measure has been sent to Governor Josh Shapiro for his signature.
Contact: Morgan Wagner
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