5 States That Have The Highest Gasoline Taxes in 2020

5 States That Have The Highest Gasoline Taxes in 2020

Have you noticed that filling your tank these days can mean emptying your wallet? Gasoline taxes are on the rise, and you might find that fueling up can take a bite out of your budget. In addition to state-level taxes climbing in 2020, Congress plans to renew its push to hike the federal gas tax in 2020 as well. The federal tax has remained at 18.4 cents per gallon since 1993.

Gasoline taxes generally go toward maintaining roads and highways, but the higher price tag can send motorists searching for creative ways to cut the cost of driving with car insurance discounts or carpooling. According to the American Petroleum Institute, motorists in the following states pay the most between federal, state, and local levies.

Hawaii | Average Tax: 66.77 Cents/Gallon

Already contending with the highest cost of living in the country, Hawaii’s Big Island put into motion its first fuel tax hike in 30 years in 2017: a 23-cent increase, to be spread out over three years. More recently, the Hawaii legislature considered hiking the state gas tax by six cents to funnel more money toward the state’s highway fund. Hawaii’s island roads rank 47th in the nation for performance and maintenance, according to a 2019 analysis by the Reason Foundation.

Washington | Average Tax: 67.80 Cents/Gallon                                                                                                 

When a 2015 report declared that 39% of Washington roads were in bad shape, lawmakers raised the gas tax by 11.9 cents in hopes of securing enough funds to initiate repairs. The tax increase is funding Connecting Washington, a 16-year program meant to improve the Evergreen State’s transportation infrastructure in multiple ways.

Illinois | Average Tax: 72.05/Gallon                                                                                     

The state’s fuel tax had remained at 19 cents since 1990, but that all changed on July 1, 2019, when the tax was doubled to 38 cents. In addition, vehicle registration fees and other taxes were increased in order to raise $45 billion. Lawmakers hope to use those funds to rebuild Illinois’ crumbling highways, bridges, and infrastructure. Under the new law, fuel tax increases will take effect more quickly now, as they’ll be tied to inflation.

Pennsylvania | Average Tax: 77.10 Cents/Gallon                                                                

For a time, motorists in Pennsylvania were already paying the highest gas taxes in the nation. A significant increase in the state fuel tax took effect in 2018; at the time, the fuel tax went from 32.3 cents per gallon to 58.7 cents. Pennsylvania drivers living near the state border have been known to cross the state line in order to avoid the steep tax of the Keystone State. Regular tolls on the Pennsylvania Turnpike have also jumped six percent in 2020, perhaps in an effort to deter cross-state fill-ups.

California | Average Tax: 79.00 Cents/Gallon                                                                                                       

A 2017 California law raised the state’s gas tax by a whopping 12 cents per gallon to fix or replace dozens of bridges and fund other road work. The state’s gas tax was hiked by an additional 5.6 cents per gallon in the summer of 2019. The result: California now pays the highest gasoline taxes in America. An additional tax increase is expected to take effect on July 1, 2020.