New York plans to suspend part of state gasoline tax

Lawmakers in Albany reached the "conceptual agreement" on a budget for the next fiscal year on Thursday, Gov. Kathy Hochul said.

News 12 Staff

Apr 8, 2022, 9:19 AM

Updated 736 days ago

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One of the biggest highlights of the $220 billion budget for the state is providing much-needed relief at the gas pump.
Lawmakers in Albany reached the "conceptual agreement" on a budget for the next fiscal year on Thursday, Gov. Kathy Hochul said.
Hochul said the state plans to suspend part of the state's gas tax from June 1 through the rest of the year.
For months, drivers have been asking for relief when filling up their cars.
The partial cut could save drivers about 16 cents a gallon starting this summer.
The national average for gas stands at $4.14, in New York it is $4.25 and on Long Island it is $4.14.
On Long Island the average price of gas is down 10 cents from a week ago, and down 21 cents from a month ago. However, it is still up $1.28 from a year ago.
The highest recorded average for Long Island was $4.47 for a gallon on March 11.
Hochul says individual counties can lower their sales tax on gasoline.
On Long Island, local sales taxes are around 4% - so Hochul says cutting that could create a big difference.
"The cumulative effect is very impactful for people as they go to the pump," Hochul says.
Suffolk County Legislature Presiding Officer Kevin McCaffrey says his staff is already running the numbers and talking to the county executive to see if Suffolk can afford to cut some parts of the gas sales tax.
In Nassau County, the Democratic minority has already proposed slashing the sales tax on gas, saying the county has the surplus to cover the lost revenue.
Some motorists say they need relief now and wonder if other programs could be cut to fund the fuel tax break.
"I don't know how that's going to affect us in the long run," says Dix Hills resident Paula Martin. "I hope it's not going to have any negative effect."
Lawmakers from both Nassau and Suffolk counties say they are still waiting for final guidance from Albany on how the sales tax can be reduced.


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