When Will Fuel Prices Go Down? Short Answer: They May Not

When you’ve filled up your tank lately, you’ve probably noticed diesel fuel prices are (still) on the rise. Why are fuel prices so high? It boils down to a few reasons, several of which have to do with fuel tax rates, either automatic adjustments or fuel tax holidays that have come to an end.

Diesel Fuel Prices Continue to Increase

Because you drive through several states (or across entire regions) each week/month, it’s helpful to know how much fuel prices will increase state by state so you can anticipate higher costs.

Read on to see which states will increase gas and diesel fuel prices starting January 2023:

• Expect automatic adjustments of about one cent in Florida, Michigan, Nebraska and West Virginia.
• Connecticut: The state’s gas tax holiday expires this month, pushing gas prices up by 5 cents per gallon each month until May 2023 when the full rate of 25 cents resumes. Diesel prices are unaffected.
• Georgia: By January 10, the gas tax will increase 2.1 cents to 31.2 cents and the diesel rate will increase 2.4 cents to be 35 cents.
• Illinois: Excise rates on gas and diesel will go up by 3.1 cents on January 1 to 42.3 cents and 49.8 cents, respectively.
• Kentucky: Unless action is taken by the governor, expect a 2-cent tax rate increase for both gas and diesel, bringing taxes per gallon up to 28 cents and 25 cents.
• New York: 33 cents per gallon for both gas and diesel will go back into effect after a fuel tax holiday that ended on December 31, 2022.
• North Carolina: On January 1, taxes for both gas and diesel will increase to 40.5 cents.
• Pennsylvania: For gas, the tax rate will increase from 57.6 to 61 cents per gallon. Diesel tax will rise 4.4 cents from 74.1 to 78.5 cents.

Read the original article here: LandLine Media – Fuel tax rate changes take effect Jan. 1

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