Once among lowest gas tax rates in the nation, NJ now ranks among the highest

The gas tax rate in the Garden State will be going up by 22% -- 9.3 cents per gallon -- come Oct. 1.

News 12 Staff

Aug 29, 2020, 1:39 PM

Updated 1,326 days ago

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The gas tax rate in the Garden State will be going up by 22% -- 9.3 cents per gallon -- come Oct. 1.

The state Treasury says fewer people are driving during the pandemic and gasoline has dropped by more than 33% between March and May. Diesel fuel use has taken a nearly 17% hit in that time frame.
MORE COVERAGE: New Jersey Treasury: Covid-19 pandemic forces increase in state's gas tax

A 2016 law signed by former Gov. Chris Christie says the tax on gas must increase when New Jersey makes less than $2 billion a year in gas sales.

"It's very unfair because it's not our fault," says Cedar Run resident Evan Barcellona.

The first gas tax in the state took place in 1927 with an increase of two cents per gallon.

Under Gov. Christie's law, the gas tax went from 14.5 cents to 37 cents in 2016. In 2018, it went up another 4.3 cents a gallon.

New Jersey used to have one of the country's lowest gas tax rates. Now it has one of the highest.


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