Not ready for prime time?

Despite opposition from a number of trucking organizations, the state of Connecticut’s highway use tax went into effect at the start of 2023.

The fee is applicable to commercial vehicles with a classification of Class 8 to Class 13 and with a gross weight of 26,000 pounds or more.

Calculating the tax – which is based on the vehicle’s weight and number of miles driven in the state – is the responsibility of the carrier. Violations of the new law can result in a $1,000 fine.

Signed into law by Gov. Ned Lamont in June 2021, the new fee is intended to help fund improvements to the state’s infrastructure. According to the Connecticut Office of Fiscal Analysis, the tax is estimated to generate $45 million in its first year and up to $90 million each subsequent year.

The Motor Transport Association of Connecticut asked state lawmakers to repeal the highway use fee, citing several developments since the governor signed the bill into law that make the tax unnecessary.

In November 2021, passage of the federal infrastructure law allocated $5.38 billion over five years to Connecticut. Furthermore, projections from Connecticut’s Office of Fiscal Analysis show the state’s Special Transportation Fund will run a surplus for the next several fiscal years. In fact, even with projected revenue from the highway use tax subtracted from future estimates, the fund will still run a surplus through 2026.

Dale Watkins, manager of OOIDA’s Business Services Department, said that complying will put a strain on motor carriers. “I think it’s going to be a big accounting nightmare for motor carriers to comply with this, or try to comply with this, and for the state of Connecticut to process and to audit it.” Watkins told Land Line. “Some of these things, I don’t know how you would go about keeping records. Like what does a truck weigh when you enter the state? What happens if you bobtail into the state and then pick up a trailer – what weight do you use?” LL