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Illinois lawmaker wants revisit proposed tax cap on fuel

Published: May. 17, 2022 at 8:04 PM CDT
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ROCKFORD, Ill. (WIFR) - As the average price of gas statewide nears $5 a gallon, State Senator Dave Syverson (D-Rockford) calls for the government to cap the state’s sales tax on motor fuel at 18 cents per gallon.

In March, Senator Syverson proposed a cap on Illinois sales tax on motor fuel at 18 cents per gallon. Now he urges the state’s government to revisit his proposal, which could give residents relief as early as this weekend.

“If we had passed this, in March, when we first talked about it, that would have put about $170 million back into taxpayers’ pockets,” says Senator Syverson.

“When is the last time the politician made a promise about money going back into your pockets that happened? I cannot remember,” says candidate for Illinois’ 35th District Eli Nicolosi.

A current Illinois law delays a two-cent increase to the state’s motor fuel tax until after the election. Despite the freeze, senator Syverson wants the government to reconsider since the budget didn’t plan for this.

“The state never anticipated gas going to $5 a gallon. But for consumers, they would be able to save 12 to 13 cents per gallon of gas by capping it and rolling it back,” says Senator Syverson.

Nicolosi says the state needs to do something else and it’s no coincidence the gas tax was signed at the same time the legalization marijuana bill and gambling bill was signed.

“That’s a lot of Springfield favors being done down there. And it’s exactly why we need to kind of change course,” says Nicolosi.

Syverson says this proposal could save taxpayers 16 cents a gallon, or a billion dollars over the next year.

Illinois is one of seven states to charge its residents a sales tax on top of a motor fuel tax, meaning taxes increase when gas prices also increase. Syverson claims his proposal would cap the tax at the level they were at two years ago.

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