Georgia governor extends fuel tax holiday

July 5, 2022

Keith Goble


The state of Georgia’s fuel tax holiday once again has been extended.

Gov. Brian Kemp acted on Friday to extend the state’s fuel tax holiday through Aug. 13. The tax break for gas and diesel purchases had been set to run through July 14.

In March, state lawmakers approved a bill and the governor signed into law a suspension of state fuel taxes through May 31. He later acted to extend the price break through mid-July. The state normally collects a 29.1-cent gas tax and a 32.6-cent diesel tax.

Kemp said at the time the state is in a good position to provide a tax break because of a $3.7 billion budget surplus through fiscal year 2021.

Another round of relief

The Republican governor last week signed two executive orders to “alleviate the financial burden placed on Georgians due to the federal government’s gross mishandling of inflation and to renew efforts to address supply chain issues.”

A second executive order suspends collection of the state sales tax on locomotive fuel through Aug. 13.

“In March, I took decisive action to help those impacted by high prices at the pump,” Kemp said in a news release. “I am once again extending the supply chain state of emergency and suspending our state motor fuel tax.”

He said that action to address the supply chain is needed “to ensure the restoration of Georgia’s social and economic welfare by responding to the ongoing effects of the current supply chain disruptions on the state.”

The governor is required to issue an executive order to make changes because the Legislature has adjourned for the year.

Kemp is calling on federal lawmakers to do more to address the issue in Washington. The governor said the state of Georgia’s fiscally conservative approach to budgeting allows them to extend the state motor fuel tax suspension.

Georgia’s average gas price is about 50 cents below the national average for a gallon of regular gas, according to AAA.

The actions by the Georgia governor this year to suspend the fuel tax is not his first go-around to address higher fuel prices. He also signed an executive order to temporarily suspend fuel tax collections a year ago during the Colonial Pipeline shutdown.

IFTA effect

Tax holidays that include diesel has had truckers asking what a tax break would mean for paying their tax through the International Fuel Tax Agreement.

IFTA Executive Director Carmen Martorana previously told Land Line Media that drivers wouldn’t have to pay state fuel tax if they are buying and burning the fuel in a state that is not collecting the tax. Martorana said that drivers who buy fuel in a state with a fuel tax exemption and drive in a state without an exemption, drivers would have to pay that tax out of pocket.

He added that if a driver pays taxes on fuel in one state, but then drives in a state that has a tax holiday, they can get reimbursed. LL

Land Line Now Senior Correspondent Ashley Blackford contributed to this report.

More Land Line coverage of news from Georgia.