The Indiana gasoline tax will go up one cent to 34 cents a gallon beginning July 1, according to the Associated Press. Currently, the gas tax in Indiana is 33 cents a gallon.
According to WDRB, this yearly increase in the gas tax will bring approximately $30 million in earnings to state infrastructure projects.
[Related: Legislative roundup: 8 major moves by the Indiana Statehouse in 2023 session]
According to Associated Press, the gas tax has increased every July since 2017. Following a provision included in the state budget, which was approved by the Indiana legislature and signed by Gov. Eric Holcomb in April, the annual increase will expire in 2027 instead of the originally planned date in 2024. Before 2017, the gas tax was 18 cents per gallon and was increased to 28 cents per gallon to fix the state roads and bridges.
In July, fees that owners pay on hybrid and electric vehicles at the Bureau of Motorized Vehicles will also increase annually, according to Indiana Public Radio. Following the passage of House Bill 1050 May 4, fees on hybrid and electric vehicles will increase every year — a change from a previous 2017 law that stated fees would increase every five years. This year, fees on electric and hybrids vehicles in Indiana will go up approximately 40%. This increase means electric vehicle owners will pay $214 and hybrid vehicle owners will pay $72 in fees. Electric vehicle owners currently pay $150 and hybrid vehicle owners pay $50 in special fees.
[Related: Indiana Gov. Holcomb expected to sign budget banning funds to Kinsey Institute]
