Illinois drivers, brace yourselves for another pinch at the pump as the state's gas tax is set to climb from $0.454 per gallon to $0.47, starting next month. The NBC Chicago reports that this increase represents a jump of over 3.5%. It's not just gasoline that's feeling the pressure—diesel is also taking a hit, with its tax rising from $0.529 to $0.545 per gallon.
In a state that has become notorious for its high taxes on fuel, Illinois proudly, or perhaps begrudgingly, holds the rank of the second-highest tax rate on fuel in the country—trailing just behind California. What's more, the Tax Foundation informs us that all these taxes and fees contribute to a staggering 40% of the retail gas price faced by consumers at the station, as per Newschannel 20.
The pain doesn't stop with drivers alone. A study by the Illinois Policy Institute, featured on NewsChannel 20, suggests that these hikes disproportionately burden middle- and lower-income families, who already dedicate a larger slice of their household pie to gasoline. This isn't just about percentages, though—it translates to an average driver paying about $184 more per year than before the state decided to double the tax back in 2019. "Illinoisans were already overburdened with heavy gas taxes before this latest hike and now it will be more costly for tens of millions of Illinoisans expected to take to the roads this summer," said Bryce Hill, director of fiscal and economic research at the Illinois Policy Institute.
