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 State lawmakers are debating a bill to push back the New Year’s Day gas tax
hike.
Instead of the scheduled gas tax hikes on Jan. 1 and July 1, 2023, House Bill
5829 pushes back the next inflation adjustment to July 1, 2023. Gov. J.B.
Pritzker’s election-year budget put off the July 2022 gas tax hike until after
the election on Jan. 1.
Illinois’ average gallon of gas costs $3.94 as of Nov. 23, 33 cents higher than
the national average of $3.61. Even though Illinois gas prices are down from a
month ago, they’re still the highest in the Midwest and 10th highest nationwide,
according to AAA.
Gas prices nationwide are going down, but gas taxes in Illinois aren’t going
down anytime soon. Even without upcoming gas tax hikes, Illinoisans already pay
the second-highest gas taxes in the nation behind only California.
Gas tax hikes disproportionally hurt lower-income residents, who give up a
larger percentage of their paycheck to pay for gas.
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In Pritzker’s first year as governor, he doubled the per-gallon tax from 19
cents to 38 cents, plus added automatic annual hikes.
Pritzker’s most recent budget also required gas stations to post 4-inch by
8-inch signs reminding motorists that Pritzker and lawmakers delayed the tax
hike.
HB 5829 would also end that requirement for gas station owners, who
unsuccessfully sued the state in the summer protesting the required signs.
If lawmakers are even a little serious about gas tax relief, they’ll have to
pass the bill by the end of the veto session on Dec. 1. If they truly want to
help, they will end the annual inflationary adjustments.
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