That 3-cent increase in gas tax? More like a nickel – and higher still in Atlanta

Beth Brown at the Association County Commissions of Georgia has confirmed what we were told this morning: That 3-cent sales tax that kicks in on May 1 will actually be more like 5 cents, or more, once special local option sales taxes are counted.

The matter is complicated, but the state tax on gasoline is a flat 7.5 cents per gallon, plus an amount based on price – which increases if the price per gallon goes up more than 25 percent.

And that it has indeed done, which means the secondary state tax will automatically increase from 10.1 cents to 12.9 cents per gallon on May 1.

But that doesn’t count the sales tax that local governments add. Communities that levy SPLOST pennies for education and local county governments will add an average of 2.1 cents per gallon, Brown said.

So now, we’re up to 4.9 cents. And in the city of Atlanta, the automated tax hike will be more like 6 cents, because of the extra sales tax for the reconstruction of the city’s sewer system.

A spokesman for Gov. Nathan Deal has said that the situation is being monitored.

- By Jim Galloway, Political Insider

For instant updates, follow me on Twitter, or connect with me on Facebook.

102 comments Add your comment

on patroll

April 25th, 2011
4:54 pm

Rambo, you act as if McCain and Palin would have changed the global future. They would be in the same shape we are today. No bush tax cut expired like Obama pledged to do. If he would have been able to do that we would be in much better shape. The same shape we would be in if Paul Ryans plan would do in half the time. Why is it that he can privatize medicare and it will work but obama’s privatization is socialist? Answer me that. Its the same plan.

Kay

April 25th, 2011
4:57 pm

Would anyone who has posted a complaint about the gas tax please explain how you would fund transportatio?. And don’t just play the transit card. There’s not a transit system in the country that pays for itself, so taxpayer funding is still necessary. It’s chaper for the rider because it is subsidized by the government.

So let’s hear some realistic ways to effectively fund transportaton….I dare ya.

Eric

April 25th, 2011
4:58 pm

on patrol- I’ll give you the one on taxes, but I nave news for you. ER’s and health insurance are two different entities. I’m on staff at a hospital and can tell you that the hospital is drowning in red ink from illegal immigrants who use the ER as a clinic, and leave with no financial burden; that is passed on to the paying customers. Insurance helps, but copays and co-insurance only goes so far. If illegal immigrants self immigrate somewhere else, the costs the ER’s have to eat/pass on would be reduced.

Bobo

April 25th, 2011
4:59 pm

I’m willing to pay alot more if it will lower Obama’s standing in the polls and force him to lose the 2012 election.

Dr Dr

April 25th, 2011
5:01 pm

Todd it’s not a federal law….it’s state legislation. The State legislature snuck it in instead of raising the base gas tax where everyone would recognize it as a higher gas tax. They should have implemented what was suggested to them. That was to raise the Ga base gas tax 1/4 cent per gallon each qtr for for 5 years. Slowly implementing the tax by 1 cent per year for 5 years. Over 5 years it would have go from 7.5cents per gallon to 12.5 cents per gallon. Both parties are stuck in the past and want NO change of any kind implemented. Everything has gone up in cost! The state has had 7.5 cents per gallon gas tax for over 25 years. To tell the real truth it should have been slowly implemented during the last 20 years. The state DOT wouldn’t be broke now trying to find money for repairs.
Drill it here, drill it now!!

North over South

April 25th, 2011
5:04 pm

Vote everybody out of office both party

Clanmack

April 25th, 2011
5:07 pm

Don’t mind the increase, it is about time. I just do not like the way the whole thing is revealed: 3 cents first, then the additional SPLOST taxes, etc. It looks like we pay taxes on our taxes. Did the legislature include gas and diesel in the mix of things/services to be taxed where they were were exempt before or is it just the increase in cost per gallon that triggers the hikes in taxes? This just showing us that the &*$%%#@! government/politicians must spend most of their time figuring out how to raise taxes so that 1) they can deny they did it or 2) in such a way that it doesn’t show up to the average intelligent citizen. Who has the time to go around behind them and look for this kind of sneaky tax raise? Did I miss the large font headlines that proclaimed the legislature had raised our taxes? I just saw the ones around tax reform which was withdrawn at the last minute. Georgia legislative sessions are a 40 day slowly developing panic attack.

remember?

April 25th, 2011
5:08 pm

Remember all of the grainy news video of the ‘counterculture’ of the 60’s? Smoking the weed, singing at Woodstock (NY, not Georgia, you idiot) free love, etc.? They had families and now their kids are 50 somethings and running things. Surprised?

Deanna

April 25th, 2011
5:08 pm

I say drill more here in the USA and stop depending on forgien oil!!!! I own a place in the gulf and hated to see the oil spill, but we must not make that stop us! We have got to retreive our own oil!!

on patroll

April 25th, 2011
5:11 pm

Eric, what keeps them from paying? You treat and release without billing? I don’t buy the all the illegals fault when then are many american people that will do the same thing. Hell, I can’t afford an ER visit with the insurance I have right now.

Todd

April 25th, 2011
5:12 pm

You hated a spill by a foreign oil company you mean. Only three american big oil companies, and I only buy from them if at all possible. Conoco, Chevron, and Exxon-Mobil. Thinks they should be the only ones allowed to drill in the US waters or land.

Weena

April 25th, 2011
5:13 pm

Who needs gas? I just lounge around drunk waiting on my check to come in. Enjoy a bit of domestic vilience too, but the ride’s always free.

Donaldo

April 25th, 2011
5:13 pm

Stop the insanity. We need to produce our own petroleum and get off the addiction to foreign oil. With the turmoil in the world, it is time for common sense to rule, we can do this, we just need leadership with the guts. Haven’t seen any since the 50’s, wonder what Truman or Ike would do?? We will keep paying until WE THE PEOPLE, say enough already. Let us know when you really have had enough!!!! Cause there is more insanity on the horizon.

kat

April 25th, 2011
5:15 pm

Keep the price going up – everyone in the world pays more than we do for gas and oil. We should be paying the true cost, which should include enough money for wells that don’t bust, and an emergency fund to deal with the consequences when they do. Petroleum products should be considered far more valuable, and therefore cost more, than anyone considers them right now. We should be using them wisely, recycling and saving and reusing petroleum-based plastics for as long as we possibly can, because it’s going to be really hard to live without them when we have no oil left. Why don’t people understand the concept of moderation, saving, paying what something is worth and then valuing it and using it until it’s used up and even then, using it for another purpose or passing it on to someone else who can use it?

on patroll

April 25th, 2011
5:17 pm

clanmack, I would bet that if you add up all the taxes we pay, fed, state, ad vol, sales, etc. it would be more than 40% of income. 15% feds + 6% state + 7% sales = 28% already and you know there are more. What’s the flat tax going to be? it will never work.

Paul

April 25th, 2011
5:19 pm

“You chose to live in the boonies…now pay for that choice” Previous quote from Travis. Typical answer from someone that has no true answer. One that is always looking for the easy way out. You sir – -with all due respect are an egotistical idiot. More people live in the suburbs and country, or as you say the boonies, than live in the city. Have a nice day. You are not worth anymore of my time!!

on patroll

April 25th, 2011
5:19 pm

all we have to do is stop buying gas for our personal cars by travelling less. never going to happen.

MrDeadbeat

April 25th, 2011
5:23 pm

Thank God I haven’t paid state taxes in the last 15 years. Now, I don’t feel guilty for supporting the crap we’ve had and currently have for ‘gubmint’.

Rick in Grayson

April 25th, 2011
5:24 pm

I’d like to thank the state legislature for passing HB87. If just some of these illegal aliens leave and take their children, the state of Georgia will save millions. If they all leave, then the amount will be over a billion dollars each year. The yearly amount that we spend on the K-12 educations of the children of illegal aliens. That will more than offset the extra monies that are spent at the pump.

Last Man Standing

April 25th, 2011
5:26 pm

When you cast your vote for Obama, was this what you wanted?
http://www.youtube.com/watch?v=xvJJP9AYgqU

Discounting the nickel added to your gas per gallon charge, did you want this?http://hotair.com/archives/2008/06/11/obama-id-like-higher-gas-prices-just-not-so-quickly/

Under Hussein, the national debt has been increased by $4 trillion – and he hasn’t been the president THREE full tears. Is this what you voted for?

How do you like the $1.4 trillion deficit we have now?

He promised jobs to the jobless, money to the money-less and that he would fundamentally change America. How do you like the “change” so far?

Well, hang on! You ain’t seen nothing yet!

yuzeyurbrane

April 25th, 2011
5:29 pm

It’s all obviously God’s punishment for our lascivious lifestyles worshipping at the altar of SUV’s, minivans, F150’s and other gas guzzlers.

ATL

April 25th, 2011
5:36 pm

Yes HB 87 is an utter disaster on just about every count– and racist to boot–
The barely thinking anti-immigrant crowd got their way and we’ll all pay for their ignorance and xenophobia– But yes, on the gas tax– if its used for road or transit improvements, then its a small price to pay…

on patroll

April 25th, 2011
5:40 pm

gas tax used on road improvements? where does ad vol. go? 400 toll money? it will be wasted like all the money. why is it admin is never cut yet sucks up more and more?

Eric

April 25th, 2011
5:45 pm

on patrol- you don’t know how the ER works; nor did I until on staff. ER’s are required to see anyone regardless of financial situation. If you have insurance, at least the ER can get some $. Hopefully, you will also pay the remainder. But when illegals come in for a sore throat, they usually have no insurance or money, so the ER is screwed. Can’t stay open without paying bills, so rates go up for everyone else. All this until feds take over all health care, then I’ll find another line of work; I hear plumbers make pretty good money and Obama hasn’t proposed taking that industry over, yet.

James

April 25th, 2011
5:51 pm

A 3% tax increase on the cost of fuel is inconsequential. 30 cents for every $10 is nothing really.

This really has no affect on myself or anyone that drives an appropriately sized vehicle and lives a reasonable distance from work/school.

I made a conscious decision when I purchased my home to live within 10 miles of work, for me, that means living inside 285. I also made a conscious decision to buy a vehicle that met my needs, which happens to be a Jetta TDI. I love my car and the 42mpg that I average in daily driving.

I have nothing against anyone that drives a truck or SUV, as long as there is a justifiable reason for it. What bothers me most is the jerks that drive the monstrous SUV’s while living 30+ miles while whining about the cost of fuel.

Make some realistic and logical decisions about your vehicle and your commute, then we can talk about reducing the fuel tax.

Tom McMahan

April 25th, 2011
5:56 pm

And how much are corporate taxes going up to help with the situation?

Gary

April 25th, 2011
6:16 pm

As long as the Oil companies maintain the power and control they currently have no one will ever be able to safely invent and implement an alternative low cost energy source. It will never be allowed as long as that level of greed is maintained. Anyone that tries will either be bought off and their invention surpressed and kept out of public contact or it will simply disappear. So all of you hoping for a real alternative energy source that actually believe the Oil companies will let that happen……Especially when it’s going to hurt their Bank Account…take off your blinders and smell the coffee.

HENRY

April 25th, 2011
6:18 pm

THANK YOU OBAMA……….THIS FOOL IS AFRAID TO DO ANYTHING TO UPSET OPEC………THAT’S WHERE THE PROBLEM LIES.

HENRY

April 25th, 2011
6:19 pm

ATL——SPOKEN LIKE A TRUE BLEEDING HEART LIBERAL

MiltonMan

April 25th, 2011
6:31 pm

Yes! The libtards who want to tax the evil rich are about to get a taste of their own medicine.

MiltonMan

April 25th, 2011
6:32 pm

The same clowns who bitch about a gas tax are the same clowns who vote each & evrey time for a SPLOST tax.

MiltonMan

April 25th, 2011
6:33 pm

ATL – the barely thinking anti-immigration people just handed your people their rear ends last November.

kd

April 25th, 2011
6:34 pm

Everything is going UP UP UP with no pay increases I think we are on our way OUT OUT OUT>Also you are right about healthcare, after OBAMA approved it my insurance donot pay my COPAYMENTS anymore.

sense-talking

April 25th, 2011
6:36 pm

I understand that roads need fixing (though I have not seen it happen in my end of town, but I digress), but we all are in financial stress and a few cents at the pump on top of HIGH gas prices is suicide. Those couple of cents stretch out to paying more at the grocery store and most other places where we shop or purchase goods and services. So the 3/5 cents stretched put really is like 25 cents more.

If you said I had to pay more for education, I would have no problem w/that because that is going in the toilet too!

joan

April 25th, 2011
6:46 pm

boy oh boy republicans have us bending over again. Just what this economy needs is a tax increase on gas that is obviously overpriced already based on quarterly profit reports showing more than a 50% increase in gas company profits. Why oh why did folks vote for Deal…….. he’s certainly not a good deal for georgia!

Jerry Grillo

April 25th, 2011
7:37 pm

I’m sorry, but … Rambo? Really? Probably some stammering little Walter Mitty type screeching about no taxes from the safety of his/her mother’s basement. Too rich.

Lt Dan

April 25th, 2011
7:45 pm

USMC, the market, in the current supply/demand configuration, could never simply “correct itself”. We, as global consumers, are the “last guy at the bar”. After everyone has had a drink or two and gone home, we insist, like the alchoholic, on “jush one more”. It is our insatiable demand for energy which propogates the “tough times”. We can lay blame on government policies, speculators, the Easter Bunny and the Tooth Fairy…all these entities see is opportunity manifested by a “girls done wild” consumer mentality. Like that alchoholic, we keep demanding…MORE, MORE, and…MORE, all-the-while blaming (like that alchoholic is prone to do) others. Are these entities without responsibilities? Certainly not! However, let us not lose site of the fact that WE…the Mommas and the Poppas; the Brothers and the Sisters…bear a helluva lot of responsibility. We want to enjoy the “fruits of the economic garden”, all-the-while shunning the garden dirt/the responsibility of being wise consumers of a resource which is not of infinite supply. Think about it, Marine.

GSU Men's BB Fan

April 25th, 2011
11:41 pm

I keep reading (and hearing) that this tax goes into effect when there is a 25% increase in the price of gas. But what is the basis for this 25% increase? A 25% increase over the price of gas a year ago? A month ago? A 25% increase over when?

Buster

April 26th, 2011
2:54 am

Hilarious to read all the finger pointing around here…”It’s the Republicans!” “No, it’s the Democrats!” blah, blah, blah. You want to really know what it is? It’s a wake up call, people. The entire American socio-economic system is broken. It only works as long as demand for cars and houses continues to grow. What happens when those demands are met? Whoops! Meanwhile, politicians on both sides have stood idly by while American manufacturing jobs are shipped elsewhere. Now that we have an economy based on low-pay, low-benefit Mcjobs, the mortgage crisis and all that follows should come as little surprise. The shrinking tax base means governments have to raise funds from somewhere, so of course they hit up the middle classes as opposed to the true wealth holders. Anyone that suggests we change course is shouted down as “un-American.” So just ignore the signs and keep chugging along America. Or should I say Titanic?

Matt

April 26th, 2011
7:44 am

Heres a challenge to all of you. Instead of venting here on the ajc web site which is not going to get anything done, why dont each and every one of you vent to your senators and congressman in your district?????? Go here http://www.usa.gov/Contact/Elected.shtml find your rep and email or write them and STOP all your whinning on a local news web site….

You want your reps to make a change then DO SOMETHING ABOUT IT. Make your reps understand that you better make a positive change for us if you want my vote.

Newtonian

April 26th, 2011
8:57 am

Basic info:
The state normally adjusts the prepaid sales tax on motor fuel for both state and local govts twice a year. The 25% trigger is based on a 25% up or down movement in retail since the last adjustment. The state last adjusted prices 4 months ago and since then the average retail price has passed the 25% threshold. This is a state law. Sales taxes on motor fuel are prepaid by the station and collected at wholesale. The retailer then gets their money back as the product is sold. The prepaid system was instituted a number of years ago (the 7.5 cents is also collected in advance) in order to cut down on fraud by those collecting the taxes. Now the tax is already included in the price of delivered product.

As for Georgia having the “lowest” gas tax in the nation, the reality is that at 7.5 cents per gallon, the regular tax is one of the lowest, HOWEVER Georgia is one of the few states that charges sales tax on motor fuel (75% of the state sales tax is dedicated to the DOT and 25% goes into the general fund). To get an idea of where Georgia stands, consider going to the map at this web address: http://www.api.org/statistics/fueltaxes/upload/Gasoline-Tax-Map.pdf When the 5 cent increase planned for 5/1 goes into effect Georgia will be higher than SC, AL, TN.

Douglas

April 26th, 2011
9:47 am

Hmmm… I entered a long thought, but must have used an indelicate word or something, because it just up and dissapeared. Or perhaps I insulted the real powers that be at the AJC, the car dealers who pay the majority of the freight?

Douglas

April 26th, 2011
9:49 am

KD, my insurance never paid my Co-Pay… But they usually take up the largest share of the cost for me, and then I pay my part which is the Co-Pay. So welcome to the real world, fella.

GSU Men's BB Fan

April 26th, 2011
11:25 am

@Newtonian

Thank you for the information!

double

April 27th, 2011
10:29 am

Lms you can rave and rant all you like .History of the USA did not start with Obama so quit trying to blame 16 years of the Bush wars expense on Obama.Obama has only 2 choices Default/inflate.None of us like inflation,dollar being debased,unpayable debt,but we have it,and it come with the presidental job,Do I like the job Obama is doing? No.Do I think anyone could do different .No If you want to blame the fiat money go back to Mr Nixon……

Crazy

April 27th, 2011
4:57 pm

Ya get to choose your name here? Awesome! I picked one that most ppl call me. Deal was originally a (D)… look back to around the mid-90’s… nah… I won’t get on that party labeling b/c enough has been said already. I didn’t vote for him b/c I used common sense… he left Congress to be a state Governor? C’mon! …IF ONLY ppl had used some in 2008 to realize Obama never completed a term in gov’t… I didn’t feel like he was experienced enough. (PERIOD). I’m stuck with the choices other ppl made based on his speeches. I was married too long in a dictatorship & went through a 2-yr long divorce… I must’ve developed super powers cuz I can see right through B.S. = lighten up & laugh a little! :)

Lt Dan

April 27th, 2011
5:06 pm

Good perspective, Double. We have become so accustomed to a “blame the messenger” mindset, that we all-too-often fail to first understand the big picture, and then try to find out how we, at the consumer level, can adjust. Like the commercial…”I want it, and I want it NOW”…this seems to be all which concerns us; how can I (and I alone) satisfy my immediate desires?

High fuel costs are nothing new. Along with the price of eggs, beans, education, and a Donald Duck commic book, everything has always cost more than we wanted to bear. Somehow, we have come to believe that our birthright should include cheap and plentiful energy. Until we come to our senses, there will be a lot of disappointment.

pPoke 'Em With A Stick

April 28th, 2011
9:24 am

It should have gone up 25 cents per gallon. The spineless GOP raised it as much as they dared. We need public transportation, less cars on the road and less waste of natural resources. The fat ratards getting less than 30 MPG can suck it.

KHStone Mountain

April 28th, 2011
12:15 pm

I understand this new tax money will go to employing state representatives to hang out at various gas stations and kick Georgian’s in the crotch as they fill up.

Dan Quayle

April 29th, 2011
11:34 am

It’s spelled “nickle.”