CONNECTICUT GAS TAX HIKE COSTS DRIVERS AN ADDITIONAL $205,000 PER DAY
The average retail price of regular gasoline hit $4.00 per gallon in Connecticut today. Connecticut joins several other states [Alaska, California, D.C., Hawaii and Illinois] in the nation to have reached this level.
The Connecticut Petroleum Gross Receipts Tax, one of the two state taxes Connecticut applies to gasoline, is now at 24.25c per gallon and is the highest amount of GRT since 2008. In context, based on the average wholesale price of gasoline on February 1st, the CT GRT was raising 19.20c per gallon. The wholesale price increase in gasoline since February 1st, from $2.55 up to today’s wholesale price of $3.22 – has resulted in Connecticut drivers paying an automatic, additional 5c per gallon in Connecticut Petroleum Gross Receipts Tax.
As of today, the total state taxes Connecticut imposes on gasoline costs motorists 49.25c per gallon. The federal excise tax adds another 18.4c per gallon, for a total state and federal tax burden on gasoline of 67.65c per gallon in Connecticut, among the highest in the nation and the absolute highest in the Northeast.
Each 1c a gallon increase costs Connecticut drivers $41,000 per day. This means that the 5c per gallon increase just due to the Connecticut Petroleum Gross Receipts Tax is adding another $205,000 per day in additional costs to buy regular gasoline.