Cost Of Pa.'s New Gas Tax Expected To Be Passed On To Consumers
PITTSBURGH (KDKA) -- Pennsylvania's new gas tax took effect Jan. 1.
Technically, it's on wholesalers, but many gas station owners say they plan to pass on the cost to all of us.
And some customers say there was a jump in gas prices overnight.
Gov. Tom Corbett signed it into effect in November. It's the most expansive transportation funding bill in recent years.
But to pay for roads and bridges, it will mean a 28 cent increase on gasoline over the next four or five years.
Nine-and-a-half cents of it went into effect when 2014 began.
"What are you going to do? Stop driving?" said John Harris of Mt. Lebanon.
Perhaps offsetting the sting of the tax increase a little bit, is that both AAA and the U.S. Energy Information Administration are expecting a slight drop in gas prices overall this year.
Don Bowers with Superior Petroleum joined Larry and John to explain what the nine-and-a-half cent per gallon increase means to you the consumer.
Don Bowers
It is a direct proportional add on to what consumers are already paying. What does the tax increase mean to you? "To you it means you're going to be paying about 9 and a half cents a gallon more for gasoline," says Bowers.
Who gets the money for this tax? "The state gets the money for bridges and roads and whatever else they're going to do with it."
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