Officials with the Governor’s office have announced Kentucky is once again lowering the state gas tax.
Governor Andy Beshear said this move is being made to help keep some costs down for families statewide, especially during a time when many other costs are increasing.
“The state gas tax is dropping 1.4 cents per gallon. This decrease means over the last two years we will have decreased the gas tax by 12%,” said Beshear.
Summer is the busiest season for travel, when gas prices tend to rise due to demand and the more expensive hot-weather fuel blends.
“I know every penny counts, and that these savings can really add up. Whether you’re driving to school, to work, headed to church, or headed out on a family trip, at least here in Kentucky your gas is going to cost a little bit less starting July 1st,” said Beshear.
According to the US Energy Information Administration, the federal gasoline tax is 18.4 cents per gallon. As of January 2024, Kentucky was ranked 24th in the nation for gas tax rates, with the average for all states at 32.61 cents per gallon. The lower gas tax equates to roughly 32 cents saved per fill-up on a 16-gallon tank of gas.
Gas taxes in Kentucky are deposited in the road fund and appropriated by the General Assembly for construction and maintenance of Kentucky’s roads.