Some states, have a cap on the total amount of taxes paid.

Taxpayers that do not make such an election must file separately. But these trips are more likely to be made in a vehicle owned by someone else, like a friend or relative. When low-income households do own a car, the car is quite old. Auditor showing that the conveyance fee has been paid. Further, these companies would be subject to the corporation franchise tax.

Some allow a tax credit for trade-in vehicles, others do not. Despite having fewer vehicles, people in low-income households still make most of their motorized trips in private vehicles. The income tax reform plan also enhances neutrality. It's often difficult to determine which are official and which are not.