The automatic wholesale tax increase on gasoline and diesel kicks in this year, but it is not clear what the cost hike would be to motorists.
HARRISBURG — Pennsylvania’s state Senate on Wednesday voted to undo an automatic wholesale tax increase on gasoline and diesel that kicks in this year in an effort to prevent motorists from paying more per gallon.
It’s not clear exactly how much of the wholesale tax increase will trickle down to motorists at the pump if the bill fails. The action in Pennsylvania comes as five states that passed a broad gas tax holiday because of high pump prices — California, Connecticut, Georgia, Maryland and New York — move to resume fuel tax collections.
The law dictates that the average wholesale price cannot be below $2.99 per gallon. In 2022, the price rose above that threshold, triggering the tax increase.
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