Massachusetts Senate Rejects Proposal To Suspend Gas Tax

MASSACHUSETTS — The Massachusetts Senate has rejected the proposed bill to temporarily suspend the state's gas tax through labor day amid rising gas prices due to Russia's invasion of Ukraine.

According to the State House News Service, eight Democrats and three Republicans supported lifting the 24 cent tax, and 29 Democrats opposed.

The average cost of gas in Massachusetts is currently $4.25, after hitting a record-breaking high earlier this month, AAA said.

Republicans have been pushing for the Legislature for weeks, even though Gov. Charlie Baker says he did not fully agree with it - he said it deserved a fair hearing.

The Mass Fiscal Alliance urged Baker to tap into some of the billions in rainy day funds to give drivers a break late last year when gas prices were 25 to 30 percent lower than they were now. About $50 million per month is collected from the tax so a two-month break would have left $4.2 billion in the fund.

Nearly half of the governors and legislatures in the United States, including New England states, are eyeing gas tax holidays to give consumers at least a small break.

Neighboring state Connecticut's Gov. Ned Lamont signed a bill to suspend the state's 25-cent gas tax through June 30 after the Legislature voted unanimously in favor of the pause.

Leaders in New Hampshire have been toying with the idea of a gas holiday across the Granite State as a way to help maintain tourism rates.

A number of states have already enacted gas tax holidays, according to press reports.

In Maryland last week, the legislature approved a 36-cent gas tax suspension for a month. The state of Georgia has suspended its 29.1- to 32.6-cent tax through the Memorial Day weekend.

A number of other states, including Maine, have proposals floated to freeze gas taxes temporarily or through the end of the year.