Florida governor proposes $1 billion in gas tax relief

Florida Gov. Ron DeSantis is calling on state lawmakers to provide motorists with some relief at the fuel pump via a gas tax holiday.

The state now collects 18.5 cents per gallon on gas and diesel purchases. The tax rate is adjusted annually based on the National Consumer Price Index.

Another 8 cents is collected via the State Comprehensive Enhanced Transportation System tax rate.

In total, the gas and diesel rates are 26.5 cents.

The Florida Department of Revenue has announced that an increase of 0.58 cents is set for the first of the year.

Inflation is a real issue for hardworking families across Florida.

That’s why I am calling on the Legislature to provide $1 billion in gas tax relief to alleviate some of the financial burdens from our families. pic.twitter.com/LDbY7UlwBE

— Ron DeSantis (@GovRonDeSantis) November 23, 2021

Possible gas tax relief

Five weeks before the expected rate increases, DeSantis has announced his pursuit of a six-month gas tax holiday.

He says the relief is necessary to help offset rising fuel prices.

“Gas prices have been rising due to inflationary pressures from bad federal policies, so we here in Florida need to step up and provide relief to our citizens,” DeSantis said in a news release.

The tax holiday is touted to provide more than $1 billion in gas tax relief. He says it would save the average Florida family up to $200.

DeSantis did not set a date for when he’d like the relief to begin, but said he would work with state lawmakers on specifics. Lowering the diesel tax has not been included in the proposal.

The issue can be considered during the 2022 regular session.

H3: City of Jacksonville council member proposes similar relief plan
A proposal in the state of Florida’s largest city would also provide gas tax relief.

Jacksonville City Council member Leanna Cumber has filed emergency legislation to repeal a planned gas tax increase that is touted to raise $1 billion over 30 years.

Approved earlier this year, the city is poised to double the 6-cent local gas tax to 12 cents on Jan. 1, 2022.

In May, Cumber was among a handful of council members to vote against the tax rate increase.

A reversal on the tax increase would require a supermajority vote of the city’s 14 council members. If approved, the tax relief would not take effect until 2023. LL

More Land Line coverage of news from Florida.