No gas tax for 30 days- here's what Indiana drivers need to know

Indiana Governor Mike Braun is giving drivers a break- at least for now.

Braun announced a 30-day suspension of the state's 7% usage tax on fuel, framing it as emergency relief for Hoosiers struggling with high gas prices. The governor issued an emergency declaration to trigger the holiday, and left the door open for an extension if conditions don't improve.

"I am declaring a gas tax holiday to give Hoosiers relief from the pain at the pump from high gas prices," Braun said in the announcement. "Affordability is my top priority."

On Wednesday, AAA reported the national average jumped two-cents to $4.16 per gallon. Southern Indiana is seeing some of the highest gas prices in the state, according to AAA. With Crawford and Harrison County prices above the national average at $4.22 per gallon.

But the governor didn't stop at just suspending the gas tax- he's also putting retailers on notice. Braun called on gas station owners to actually pass the savings along to customers rather than pocket the difference, and said the state will be "patrolling the pumps" to make sure that happens. He also asked the state's Attorney General to crack down on any price gouging in the meantime.

The move is notable because it puts both a carrot and a stick on the table: lower taxes on one end, and enforcement pressure on the other. Whether drivers actually see a difference at the pump will depend largely on how quickly and honestly retailers respond.

The suspension is subject to review at the 30-day mark, with the possibility of extension depending on whether the underlying emergency- high fuel prices- persists.

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