State Senator Griffin calls on Holcomb to suspend gas tax

Contributed By:The 411 News

Some states suspended tax for short periods

With gas prices at an average of $5 nationwide and soaring higher in Northwest Indiana, State Senator Michael Griffin (D-Highland) has called on Governor Eric Holcomb to suspend the gas tax.

Georgia, Maryland, and Connecticut suspended the sales tax on gasolline for short periods of the 2022 year. New York's gas tax suspension will last throughout the year.

Indiana drivers pay a state tax of about 32 cents a gallon when they fuel up, with the money going toward infrastructure projects.

“While I am most appreciative of the Governor’s attention to inflation relief, I fear that a $225 refund will prove insufficient for many Hoosiers in the long run.” Griffin said. “This additional money would only buy about 2.5 tanks of gas at Lake County’s highest price, and less than that for most trucks. The fact is, with costs of goods and services rising across the board, this will amount to nickels and dimes for struggling families. Pausing the gas tax would provide real, sustained relief for millions.”

Indiana already had significant reserves before the spike in inflation, along with billions in taxpayer money and federal funding.

"Hoarding is not a viable economic strategy or model fiscal management—true public resource stewardship means investing in Hoosiers by cutting everyday costs of things like education, healthcare and childcare so they can weather tough times like these. Taxpayer refunds, while somewhat helpful, are transitory. I fear they offer a seemingly attractive measure but will offer no long term satisfaction," Griffin said.

The five states with the highest gas taxes are: Pennsylvania ($0.586), California ($0.533), Washington ($0.519952), New Jersey ($0.414), and New York ($0.4045).

Story Posted:06/18/2022

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