Bill > HB6178

This bill amends Section 8 of the Motor Fuel Tax Act to increase the tax rate on gasoline and diesel fuel. The tax rate on gasoline and diesel fuel will increase from 19 cents per gallon and 15 cents per gallon, respectively, to 26.3 cents per gallon from January 1, 2017 through December 31, 2022. Beginning January 1, 2023, the tax rate will decrease to 20.3 cents per gallon for both gasoline and diesel fuel. The bill also requires the Department of Treasury to annually adjust the tax rate based on the inflation rate. Additionally, the bill specifies the intent of the act, including requiring persons who operate a motor vehicle on public roads or highways to pay for the privilege of using those roads or highways and allowing persons who pay the tax and use the fuel for a nontaxable purpose to seek a refund or claim a deduction.