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to discourage travel by automobile by making gasoline more expensive
to fund highway repairs and other special projects
An excise tax on gasoline exist due to following reason;
The excise tax on gasoline means a tax that is imposed on specific manufactured goods at the time of its production and NOT at the time of resale. These goods are fuel, tobacco, and alcohol. The purpose here is to decrease consumption by raisng its price.
Therefore, when gasoline is taxed with excise duty then it would discourage people to use exploit gas or overusing it. Similarly, the extra payment would help in infrastructure development in the nation.
Learn more about excise tax here:
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