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Massachusetts: Automatic Gas Tax Increase Repealed

  • Nov 12, 2014 | Gail Cole

 Massachusetts voters say no to automatic gas tax hikes.

Voters in Massachusetts have rejected the automatic gas tax increases that were established in a 2013 transportation law. The law indexed the price of gas to inflation in order to fund transportation needs, such as repairing bridges and roads and maintaining and expanding public transportation.

Now that the automatic increases have been repealed, the state will lose close to $1 billion in transportation revenue over the next decade.

Opponents argued that automatically increasing the gas tax each year amounted to taxation without representation. Proponents argued that it was a relatively painless way to increase sorely needed revenue.

For now, at least, the Massachusetts gas tax remains at 24 cents per gallon. And state officials have an opportunity to “take a second run at the issue.”

Stay on top of fuel taxes in Massachusetts and elsewhere. Learn more.

photo credit: Daniel*1977 via photopin cc

Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.