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.
-
Clark-Pleasant Middle School student author publishes poetry
Makenzie Anness' poems cover topics like having your first crush, friendships falling apart and even dealing with things like depression or anxiety.Mother-son duo raises awareness about heart health for Hispanic Heritage Month
Local experts say there are additional factors that prevent some members of Hispanic community from receiving proper care.Fundraiser helps raise money for Big Brothers Big Sisters of Central Indiana
Big Brothers Big Sisters of Central Indiana is kicking off its fiscal year with a huge fundraiser to help support youth.Colts LB Zaire Franklin helps local teachers by clearing school supply lists
In 2019, Zaire Franklin started his foundation Shelice's Angels, named after his late mother. The organization focuses on helping young women from tough environments succeed.