Overview
- Gov. Mike Braun announced a third 30-day suspension of Indiana’s 7% gasoline use tax, bringing the total pause to 90 days and keeping pump prices lower for drivers.
- The pause reduces the tax charged at the pump by about $0.62 per gallon, a savings the governor says helped make Indiana’s prices the lowest in the United States.
- State officials have been directed to calculate lost revenue for cities and counties and to prepare transfer requests from the State Highway Fund so payments can be made quickly once approved.
- The usage tax has been set at 7% since 2014 and is recalculated monthly based on average fuel prices, so the tax amount rises and falls with market prices.
- This third extension is the last the governor can issue unilaterally, so any continuation beyond the current 30 days will require action by the state legislature.