Transportation

These states have suspended gas tax amid record prices

AP/Steven Senne

Several states have moved to halt their state gas taxes and others are working on getting relief to residents as prices at the pump skyrocket around the country.

Connecticut became the most recent state to enact new legislation on the issue on Thursday, pausing its 25 cent per gallon gas tax from April 1 until June 30. It will also suspend bus fares during the same period.

Outside of transit, the state will also suspend sales taxes for clothing and footwear that costs less than $100 between April 10 and April 16, legislation signed by Gov. Ned Lamont (D) said.

Maryland was the first state to suspend its gas taxes, which equate to 36.1 cents per gallon for gasoline and 36.85 cents per gallon for diesel. That temporary move was enacted on Friday and is expected to last 30 days. 

The same day, Georgia paused gas taxes through the end of May, including “the suspension of the 29.1 cent tax on motor fuel and 32.6 cent tax on diesel,” Georgia Gov. Brian Kemp (R) said.

The states’ decisions come as the national average gas price is $4.236 per gallon as of Thursday, according to the American Automobile Association (AAA). Prices in some states, including Nevada and California, are over $5 per gallon. 

In California, average gas prices are at $5.882 per gallon statewide as of Thursday, according to AAA

In response to the surging prices, Gov. Gavin Newsom (D) proposed an $11 billion package this week intended to provide some relief to state residents amid the surging prices.

The governor’s proposal includes $9 billion in tax refunds to Californians in the form of $400 direct payments per vehicle with a limit of two vehicles, in addition to $2 billion in broader relief mechanisms. 

“We’re taking immediate action to get money directly into the pockets of Californians who are facing higher gas prices as a direct result of [Russian President Vladimir] Putin’s invasion of Ukraine,” Newsom said in a statement announcing the plan. 

Tags Brian Kemp California Connecticut gas prices gas taxes Gavin Newsom Georgia Maryland
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