Indiana’s total gasoline tax remains at 56 cents per gallon for June


INDIANAPOLIS (AP) — Indiana’s gasoline sales tax will barely change next month despite the recent sharp increase in gasoline prices.

A calculation released Thursday by the Indiana Department of Revenue pegs the state’s gasoline sales tax at 24 cents per gallon for June. The rate charged in May is 24.1 cents per gallon.

The stable sales tax rate means the state’s total gasoline tax will remain at about 56 cents per gallon.

Many Indiana Democrats say that since the state government has nearly $6 billion in cash reserves, Republican Gov. Eric Holcomb should issue an emergency order suspending the gas tax or convene a special legislative session so that the GOP-dominated legislature can take such a step.

Holcomb says he doesn’t have the power to suspend taxes.

Indiana has two gasoline taxes – the 7% sales tax and an infrastructure project tax. The highway project tax, which is currently 32 cents per gallon, is expected to increase by 1 cent in July.

The sales tax charged at the pump is calculated monthly, and the state revenue department determines it based on the average statewide retail price over a one-month period.

Indiana’s average pump price hit $4.62 for a gallon of regular fuel on Thursday, up from $3.93 a month ago, according to AAA.


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