Georgia governor renews fuel tax holiday

The state of Georgia’s fuel tax holiday will remain in place for at least another month.

Gov. Brian Kemp acted on Thursday to extend the state’s tax holiday through Oct. 12. The tax break for gas and diesel purchases had been sent to run through Sept. 12.

The state normally collects a 29.1-cent gas tax and a 32.6-cent diesel tax.

Fifth round of relief

The latest extension via executive order marks the fifth time the governor has acted to suspend fuel tax collections.

In March, state lawmakers approved a bill and Kemp signed into law a suspension of state fuel taxes through May 31.

The governor 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.

Kemp later acted to extend the price break through mid-July. He has since signed off on four monthly extensions.

Two executive orders

In addition to the executive order to suspend state fuel tax collection and to suspend collection of the state sales tax on locomotive fuel, a second executive order extends the supply chain state of emergency through Oct. 12.

“As I’ve said since we first suspended the fuel tax back in March, we can’t fix everything Washington has broken, but we can use the resources we have as a result of our responsible budgeting to keep more money in the pockets of hardworking Georgians,” Kemp said in a news release.

He has 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.

Georgia fuel prices below national average

Kemp said the state of Georgia’s fiscally conservative approach to budgeting allows them to extend the state fuel tax suspension.

Georgia’s average diesel price is about 37 cents below the national average for a gallon of on-highway diesel fuel, according to the U.S. Energy Information Administration. The state’s average gas price is about 46 cents below the national average for a gallon of regular gas. LL

More Land Line coverage of news from Georgia.