INDIANAPOLIS, Ind. – Governor Mike Braun announced a gas tax holiday on Wednesday, in an effort to give Hoosiers relief from high gas prices.
The gas tax holiday suspends the 7% usage tax on fuel for 30 days, although it will not apply to diesel.
The suspension is based on Braun's emergency declaration. The governor said it could be extended if the emergency continues.
"I am declaring a gas tax holiday to give Hoosiers relief from the pain at the pump from high gas prices," Braun said. "Affordability is my top priority."
Braun called on gasoline retailers to deliver the gas tax relief directly to consumers. He noted that the state will be "patrolling the pumps."
Braun also called on the Attorney General to enforce protections from price gouging by retailers.
The holiday will be implemented immediately, however it may take a few days to work logistically. The 30 days will start when things are running effectively, Braun said.
State lawmakers shared their reactions to Gov. Braun’s gas tax holiday.
Senate President Pro Tem Rod Bray (R-Martinsville):
“Senate Republicans have led on issues of affordability for years, resulting in one of the lowest costs of living in the country for Hoosiers, but the recent spike in gas prices is still leaving many Hoosiers feeling undue pressure on their budgets. With affordability top of mind right now, I’m supportive of temporarily suspending the state’s sales tax on gas.”
House Democratic Leader Phil GiaQuinta (D-Fort Wayne) issued the following statement:
“It’s clear that Hoosiers are in desperate need of economic relief, and I’m in favor of anything that can provide that, including suspending the gas tax. However, it’s been clear for a long time that Hoosiers are struggling, and it’s frustrating that it had to get this bad before Indiana Republicans took action.
“Back in 2022, House Democrats called for a gas tax suspension when gas prices soared due to the Russian invasion of Ukraine. Our calls went unanswered by the Republican supermajority, who instead allowed Hoosiers to continue draining their wallets at the gas pump.
“I want to be clear: House Democrats support this suspension, but Gov. Braun and Statehouse Republicans are only cleaning up a mess that they helped create. Hoosiers are tired of unstrategic and unfocused foreign wars that cost American lives, drive up gas prices and raise the cost of living.
“This isn’t leadership, it’s a last-minute scramble to keep up the Indiana GOP’s charade of being the ‘fiscally responsible’ party.”
