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A new bipartisan effort is moving forward at the statehouse, and that could mean paying a little extra for your Uber or Lyft ride.

As reported by WRAL on Wednesday (Apr. 5), Senate Bill 354 would boost transportation funding in North Carolina by adding a small tax to ride-share services, boosting fees on electric vehicles, and increasing the purchase tax on expensive cars.

The bill would also allow more toll roads in the state.

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The new proposal is designed to help the long-running effort to meet the state’s transportation needs as more people move to the state and gas tax revenues struggle to keep up.

“We are facing a fiscal cliff,” said Sen. Vickie Sawyer, a bill sponsor. “And it takes political courage to put these ideas out there.”


The bill could change considerably as it moves through state legislation. However, here’s what it’s calling for so far:

  • Increasing the state’s electric vehicle registration fee from $140.25 to $180.
  • A new $90 annual registration fee for hybrid vehicles.
  • Removing the tax cap on vehicle purchases. The tax rate would stay at 3%, but a $2,000 cap would go away, boosting taxes on purchases above about $66,700.
  • A new per-ride tax on Uber, Lyft, and similar companies. The bill has a flat 50-cent tax on exclusive rides and 25 cents for shared ones when passengers don’t know each other. That would start in 2024 and increase in future years based on the same calculations used to set the state’s gasoline tax.
  • A boost in the cap on toll road projects that can be built through public-private partnerships, going from three authorized around the state to six.

The bill passed the Senate Transportation Committee on Wednesday on a unanimous vote. It will now move to the Finance Committee, where efforts to amend are expected to be made.

Could North Carolinians See A New Tax On Ride-Shares?  was originally published on