INDIANAPOLIS — Indiana residents will soon be seeing an increase in prices as the gas pump.
The Indiana Department of Revenue published the gas use tax rate for the upcoming month. The tax will be increasing by 1.4 cents to 18.6 cents per gallon starting March 1.
Although the gas tax has decreased in recent months, Hoosiers have seen a significant increase over the last five years. In March 2018 the rate was 13.8 cents and 11.4 cents in March 2019.
At this time last year the gasoline tax rate was 18.4 cents per gallon.
Indiana calculates this tax by taking the average price per gallon of gasoline in the prior month and multiplying it by the state retail tax. The average retail cost of one gallon of gas last month was $2.66.
This means that Indiana residents will end up paying an extra 18 cents per gallon.
This adds up quickly to become an extra $1.80 on 10 gallons of gasoline.
In February, the gas tax was 17.2 cents per gallon, meaning you were spending $1.72 in taxes for every 10 gallons of gas.
Indiana residents pay two additional taxes on top of the gasoline tax. There is an excise tax of 33 cents per gallon and a federal tax of 18 cents per gallon.
With a $2.66 retail price, Hoosiers pay $3.35 per gallon of gas.
The state average for one gallon of gas is currently $3.31.
Visit WRTV’s gas prices page to find the cheapest gas prices near you.
-
Whitestown’s proposed water utility sale: What residents need to know
Town leaders are considering selling Whitestown’s water utility to Citizens Energy Group. It's a move town officials say could bring lower rates and more reliable service, but would shift control.Caitlin Clark set to return for Indiana on Wednesday after missing 5 games
Caitlin Clark expects to play Wednesday when the Indiana Fever host the Golden State Valkyries after missing the past five games with a left groin injury.Indiana author's new book explores pathological demand avoidance (PDA)
A new children's book written by an author and neurologist from Indiana explores the love and connection between a mother and her son while navigating emotional challenges.Trees, tutors and road work: Indy's $27 million quality of life investment
Councilors approved the $27 million spring fiscal neighborhood funding package during Monday night's meeting. More than half of it is allocated for the Department of Public Works.