Gas taxes are going up in these 7 states


Starting in 2017, drivers in seven states will pay higher gas taxes.

According to the Institute on Taxation and Economic Policy (ITEP), three states are increasing taxes due to recent legislative efforts: Pennsylvania, Michigan and Nebraska.

The other four increases are automatic adjustments based on formulas the states use to set rates.

2017 gas taxes: Will you be paying more? 

Read more: Buying gas from a station on this list is better for your car

Based on the chart below, the largest increases are in Pennsylvania and Michigan, with gas tax hikes of 7.9 cents per gallon and 7.3 cents per gallon, respectively. 

The tax hike will be more than a penny per gallon in Nebraska.

Drivers who fill up in Georgia, North Carolina, Indiana and Florida may hardly notice the modest gas tax increases in those states, which are effective January 1. 

Meanwhile, it’s good news for New York and West Virginia drivers, where taxes are going down.

Gas taxes are going up in these 7 states

If your state isn’t on this list, it may be next year. ITEP reports that more than a dozen states will consider gas tax adjustments in 2017.


By the way, gas prices continue to rise, with the national average at $2.29 a gallon. 

According to AAA, demand for gasoline is expected to drop drastically in January after everyone gets back into their normal routine following the holidays.

The $2.29 a gallon national average (December 26) is up 29 cents from one year ago.

Read more: Why you shouldn’t let your gas tank drop below 1/4 tank

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