State gas tax increase of more than 9 cents takes effect

Cristopher Centers

News 12 Staff Oct 01, 2020, 3:52pm EDT Updated on:Oct 01, 2020, 3:52pm EDT Drivers are now paying more at the pumps in New Jersey, as the state’s gas tax has risen by 22% or about 9 cents per gallon. The boost to 50.7 cents a gallon from 41.4 cents took […]

Drivers are now paying more at the pumps in New Jersey, as the state’s gas tax has risen by 22% or about 9 cents per gallon. The boost to 50.7 cents a gallon from 41.4 cents took effect Thursday.

“It is what it is,” says Lou Kirsh, of Edison. “We have to drive
to work, so we have to pay it.”

Fewer people have been driving since March amid Gov. Phil
Murphy’s stay-at-home order due to coronavirus, which means less gas has been sold, is leading to
the tax increase.

“Actually, in the time that we’re living now, I don’t think it’s
the right time to do that to people,” says Gary Rateau, of Somerset. “I think
it’s unfair.”

Under a 2016 law beginning during the Christie administration, the
gas tax helps to raise money for New Jersey’s Transportation Trust Fund to
repair and improve roads and bridges. If enough gas is sold to provide enough
money to fund transportation needs, there’s no additional tax.

But this year, there wasn’t enough money made to support the
state’s trust fund, so the gas tax automatically increases to make up for the
difference.

“It’s a really tough time,” says Kirsh. “A lot
of people still hurting, so it’s kind of missed timed I think, but the people that
are working, it’s OK, but the people that are not working, I think it’s really
tough.”

New Jersey’s gas is the fourth highest taxed in the country.

The Associated Press wire services contributed to this report.

Next Post

Advisor Group Holdings Inc. Has $443,000 Position in Iridium Communications Inc (NASDAQ:IRDM)

Advisor Group Holdings Inc. decreased its position in shares of Iridium Communications Inc (NASDAQ:IRDM) by 16.7% in the 2nd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 17,391 shares of the technology company’s stock after selling 3,492 shares during the […]