Senator Schaffer Approves Gas Tax Suspension

COLUMBUS—Senator Tim Schaffer (R-Lancaster) announced the passage of House Bill 519, suspending Ohio's 38.5 cent per gallon gas tax and 47 cent per gallon diesel tax for 90 days.

"With gasoline over $4 a gallon and diesel close to $7 a gallon, it affects virtually every product our families and farmers buy," Schaffer said. "Nearly all consumer products cost more because of gas prices, and our farmers need relief now as they harvest our crops."

Ohioans are estimated to save more than $725 million in gas and diesel taxes at the pump.

"When Ohio's families are feeling the pinch at the gas pump, government ought to look for ways to ease that burden," Schaffer continued. "This temporary suspension is a practical measure to provide relief when citizens need it most."

For accounting purposes, the MFT will be reduced to .0001 cent per gallon, which also protects certain border counties from seeing unintended tax consequences due to neighboring states levying their own tax on fuel sold into Ohio if no other tax is levied.

Highway construction projects and local governments will not be negatively affected by the gas tax suspension as budget surpluses from this fiscal year will cover the tax suspension.

The state's "Rainy Day Fund," otherwise known as the Budget Stabilization Fund, will not be needed.

"This gas and diesel tax relief plan puts money back in Ohioans' pockets immediately," Schaffer continued. "And by providing General Revenue Fund cash to our state and local governments, local road and bridge projects will not be delayed."

Read more about the House Bill 519 here.

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