Charlotte drivers tired of paying high prices at the pump could get gas stimulus checks
The price of gas has dropped slightly over the last couple of weeks, but Charlotteans are still paying, on average, more than $4 per gallon at the pump.
According to AAA, the nationwide average price of a gallon of regular, unleaded gas is $4.24. It has steadily fallen since prices hit a record-high $4.33 per gallon on March 11 in the midst of the Russian invasion of Ukraine.
The surge in gas prices will likely cost a typical American household an additional $2,000 per year, according to Yardeni Research.
Three bills have been proposed by lawmakers that would provide Americans with payments or rebate checks to offset the cost of gas. Here’s how it would work:
Gas Rebate Act
The Gas Rebate Act, introduced by Rep. Mike Thompson, D-Calif., would provide a monthly energy rebate of $100 per person for the rest of 2022 as long as the national average gas price is more than $4 per gallon.
If the bill passes, joint and single tax filers would get $100 each, and dependents would also receive $100. For example, a family with three children would receive up to $400 in rebate checks.
Single filers earning less than $75,000 would qualify for the rebate, and payments would be phased out at $80,000. Joint filers earning less than $150,000 would also qualify, and payments would be phased out at $160,000.
Big Oil Windfalls Profit Tax
Under the Big Oil Windfalls Profit Tax proposal from Rep. Ro Khanna, D-Calif., oil and gas companies would be charged a per barrel tax equal to 50% of the difference between the current price of a barrel and its average price.
At $120 per barrel, the levy would raise approximately $45 billion a year. At that price, a single tax filer would receive $240 and joint filers would receive $360 annually.
Stop Price Gouging Tax and Rebate Act
In this proposal, oil companies would pay a one-time 50% windfall profit tax on any adjustable taxable income in 2022 that exceeds 110% of their average adjustable taxable income between 2015 and 2019, according to Rep. Peter DeFazio, D-Oregon, who introduced the bill.
Like the stimulus checks included in the American Rescue Plan in 2020, single filers earning less than $75,000, and joint filers earning less than $150,000 per year, would qualify for the payments.
The amount of money Americans would receive under this plan has not yet been determined.
This story was originally published March 24, 2022 at 4:59 PM.
