Good news for Georgia residents: the gas tax suspension is staying for another month.
On Thursday, Governor Brian Kemp extended the suspension of Georgia’s motor fuel tax for another month, saying he wants to help families still struggling with inflation offset the costs of holiday spending.
A month after winning reelection, Kemp signed an order to continue withholding the tax of 29.1 cents per gallon until January 10.
“This will allow Georgia families to use those savings on holiday purchases and the extra costs of this season,” Kemp said.
The tax break which took effect in March, has cost the state approximately $1 billion in revenue. Kemp suggested during a state Capitol news conference that he won’t extend it further. Instead, he said his focus will turn to seeking legislative approval of another round of income tax rebates and a property tax break.
After 10 months of the gas tax suspension, Kemp said, “we’re going to transition away from that temporary program.” He added: “We can’t continue to pay what we’re doing on the gas tax suspension.”
According to AAA, Georgia’s average price for a gallon of regular gasoline was $2.93 on Thursday. That’s the eighth lowest in the U.S., and 24 cents below what it was a year ago. The average price nationally Thursday was $3.33 per gallon.
“We stand in strong support and shoulder to shoulder with Governor Kemp,” said incoming Lieutenant Governor Burt Jones.
During the next legislative session, Kemp will seek a second round of income tax rebates like the $1.1 billion in payments issued this year. The rebates gave dual-earner households $500, single adults with dependents $375 and single adults $250.
The governor also hopes to revive a property tax break that was allowed to lapse in 2009 amid a state budget crisis caused by the Great Recession. Kemp has proposed spending another $1 billion to save what he says will be about $500 a year for taxpayers with homestead exemptions.
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Source: WABE.org
