Image for gas tax

gas tax

A gas tax is a fee imposed by government authorities on each gallon of fuel sold. It’s used to generate revenue for transportation projects like road repairs, infrastructure improvements, and public transit. The tax helps fund the upkeep of the roads we drive on and encourages efficient fuel use. Typically, the amount can vary by location and may include federal, state, and local components. While it increases the cost of gasoline at the pump, it plays a crucial role in maintaining and developing transportation systems that benefit all drivers and the economy.