Gas Tax Passes: How Much More Will You Pay Per Gallon In California?

You probably knew it was in the works, but as of last night, the state Senate and Assembly approved a bill to increase the state gas tax by 12 cents per gallon. There is currently a $.28 tax per gallon in place, which does not rise with inflation, but the new tax is poised to take inflation into account as of 2020.

So, what about diesel? Drivers of these vehicles are looking at an increase of 20 cents per gallon, plus a 4 percent increase in the rate of the sales tax.

And if you are lucky enough to drive an electric car, you’ll still have to cough up some extra dough beginning in 2020. There will be a new $100 fee in place along with registration fees. Speaking of which, the new bill also bumps up car registration fees based on vehicle value, which could be anywhere from $25 to $175.


KPCC does a really great job of spelling all of this out. According to them, the money brought in from the new tax will amount to about $52 billion over ten years, $5 billion of which would be in the first year alone. They go on to say:

In that initial year, the plan is to split about $3 billion evenly among state and local governments for road repairs. It would also earmark $1 billion on new construction. About $785 million would go to transit construction and operations. Another $150 million would go to improvements for walking and cycling projects, and freeway patrol.

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